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Message
re: Short Selling (for a short bus rider)
Posted on 9/19/08 at 11:32 am to Glacierbengal
Posted on 9/19/08 at 11:32 am to Glacierbengal
quote:
what does the loaner of Shares stand to gain from this?
I used to ask this question all the time...then I gave up and ate some nachos
2
Posted on 9/19/08 at 11:35 am to Putty
I like how they point out that the major indicies haven't seen volatility like this since 1987. Cause obviously everything worked out just dandy that year.
Posted on 9/19/08 at 11:54 am to Putty
The loaner stands to gain nothing - except that it allows him to use a margin account. I could be wrong, but I think when you get a margin account you are required to allow your shares to be borrowed for short selling. No margin account, and your shares don't get borrowed.
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