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Pastimes : Investment Chat Board Lawsuits
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To: rrufff who wrote (7449)2/27/2005 9:43:30 AM
From: tyc:>  Read Replies (1) of 12465
 
>>"That said, this would be my position if I ran a public company today, ......there was and is nothing better for the price of a stock than having it shorted. It doesn't matter if the shares are shorted naked, or fully borrowed. Doesn't matter a bit."

This sentence from #7456, and the paragraphs that follow it reflect my sentiments .. It makes no difference whether the shorting is naked or borrowed. if the company's fundamentals are sound short selling creates speculative opportunity by increasing latent demand.

However earlier in #7456 he says that before he shorts stocks he always borrows the stock, in contrast to some who short naked. How do people "borrow" stock ? How can a person short a stock without, first borrowing it? It cannot be done except by your broker. Isn't it the broker's responsibility to arrange the borrowing of stock before he executes a short sale ? Isn't naked shorting done only by brokers ?
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