Brad,
Whoa!! Slow down big boy, I don't think that I can keep up with you.
Your get rich quick scheme, on other people's stock certificates might have some real possibilities. If we just keep lending each other our stock certificates "freely" and to as many people as possible, we'll all be richer than kings. An absolute money machine, everybody wins and no losers. Can you really be onto something? I wonder why no one else has 'thunked' of it before. Not so sure that I'd like dealing with such a broker, one who is willing to be "in this with you". Probably I'm just reading this in a way that you didn't intend.
Please don't confuse my question about your personal risk with the business risk that you are using in your response. However, I am still curious as to how high would you ride your short up from this level before you would or should bail out. My "personal" downside risk has to be 0 ($4-$5).
BTW, I have no intentions to ride on any balloon, with or without fuel injected elevator golf shoes.
You do business on a 1% profit margin? How kind of you, even my church wants their 10%.
The difficulty (not impossibility) in shorting at this low price, if I might restate, comes from the individual brokerage house margin restrictions in doing so, along with some SEC limitations on margin requirements. Costs to do so are greater, further limiting your profit potential.
Good Investing, Ken |
