Do You Know Where Your Securities Are Tonight?
Whenever you use a margin account, you are forced to sign a hypothetication agreement.
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Whenever you use a margin account, you are forced to sign a hypothetication agreement.
I don't know but if they leave they would have to recall their lent shares...
$252 looks like the next support point. I'll be watching for that and what happens when/if it reaches it very closely.
So Ihor is on vacation so we don't have a short report from him. 1.5 million shares available at IB with the fee rate going down. There has to be covering in there.
This is not the way I expected this year to play out so far. At least I planned for it somewhat.
This is not the way I expected this year to play out so far. At least I planned for it somewhat.
Got a reference for this requirement that stockholders have to sign up for their stock to be lent out to short sellers?
From Investopedia:
When a trader wishes to take a short position, he or she borrows the shares from a broker without knowing where the shares come from or to whom they belong. The borrowed shares may be coming out of another trader's margin account, out of the shares being held in the broker's inventory, or even from another brokerage firm. It is important to note that, once the transaction has been placed, the broker is the party doing the lending and not the individual investor. So, any benefit received (along with any risk) belongs to the broker.
Nothing in there about some elective sign-up policy.
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powertoold
Active Member
Elon Elon Elon!!!
F the SEC for defending the shorts.
Funding was secured as Elon believed. Secured doesn't mean signed for or committed.
Fight the power or die with honor!
F the SEC for defending the shorts.
Funding was secured as Elon believed. Secured doesn't mean signed for or committed.
Fight the power or die with honor!
ZachF
Active Member
Arguably that's what margin is for. I'm not a fan of margin either...
This seems a waste of time, if there are 15% of retail investors total and minuscule amount of them follow that proposal, the net effect is near zero.
I believe Zach could help better by bringing up some of the illegal activities, such as insider trading on SEC / FUD news to general public attention, but people from this forum well versed in identifying these instances and documenting them need to help...if we need lawyers to properly report the cases, I think a lot of people would contribute money to that. This would make a much bigger impact, prosecuting one of these guys and bringing publicity to that...
I saw there was a thread started for documenting the facts, once this is ready Zach could be a real help with that;
And thank you Zach for the #Pravduh effort, this is really cool
Your reference literally says that brokers commonly get authorization to do so as part of the process to sign up to become a customer and most customers don't even know about it.
This in no way jibes with your earlier statements, such as: "This is false. Buy shares with your own money and they can't be lent out without your permission." They get permission in the process of you becoming a customer.
ZachShahan
Active Member
I'm not seeing any strong reason for this — just the jobs numbers? Missed expectations from federal level?
I don't understand your point. That is the customer signing up to allow their shares to be lent out. If they aren't reading, and understanding, the contract they sign that is their own issue.
I have seen people report that if you have sell order for your shares that they can't be lent out. So you could place a sell order at 2 or 3 times the current price to lock up the shares. (Just make sure to maintain that so that it doesn't hit or expire when you don't want it to.)
If it's part of the signup process, you don't have a choice in the matter.
Except to go to a different broker who doesn't short sell.
And establishing an explicit no-short-selling account is the whole point of this conversation.
If he changed his mind (again) he just needs to tell the SEC he is rescinding his agreement, but might have to find a new defense team.
Toolsmack
Member
Ihor has a fill-in while on vacation in Alaska.
This was posted yesterday at open.
There was already tiny amount of short covering since Ihor’s last update.
Matthew S Unterman on Twitter
I think what we're saying is... what alternative do we have? If there was a Tesla sponsored brokerage... I venture to say many of us would use it.
Also, Elon could pressure the top institutional to not lend shares out.
I do agree that Zach's resources should be used wisely. If we feel this is not worth it as a group, then I don't think he should use his capital here.
RoadsterPlease
Member
bought more at 261, hope the worst is over for the market in general, it has been two rough days man.
Are you saying that your broker made you agree to allow them to lend your shares? Or have you not bothered to read it?
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