Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Globalstar Memorial Day Massacre -- Ignore unavailable to you. Want to Upgrade?

To: Mama Bear who wrote (179)	5/13/2000 2:29:00 PM
From: A.L. Reagan	Respond to of 543

Barb, thank you very much for the education. You cut to the quick a lot faster than reading endless pages of NASD and SEC regulations (like my prior post). Moldo grazie!

To: Mama Bear who wrote (179)	5/13/2000 2:39:00 PM
From: A.L. Reagan	Respond to of 543

It would work if it were a GTC short sale order, assuming your broker will take such an order. Tested this on Brown - they only accept short sales as day orders, which seems consistent with the way you described the daily list, which also ties into that rambling NASD reg regarding the "Hard to Borrow" list.

To: Mama Bear who wrote (179)	5/13/2000 9:53:00 PM
From: dday	Read Replies (1) \| Respond to of 543

Re Question #4 and cash accounts. Only securities held in a margin account can be lent by broker. Total securities lent from any one account must not exceed 140% of debit balance in that account. I.E. I have $200,000 market value with $100,000 equity and $100,000 debit (loan)------- Broker can lend $140,000 of any stock in my margin account. So, if stock is fully paid and I have no debit--- then no loan. If all my stock is in type 1-----------then no loan permitted. What some brokers do is ask the customer for permission to lend. They offer compensation for that purpose to the customer who has the stock they wish to lend. Each broker must report short position in each security on a monthly basis and that is when you see the published figures. NYSE is around the middle of each month and the NASDAQ is around the 3rd week of each month. The real abuse is on the BB and pinks. This figures do not have to be reported, hence, there can and are often major cases of 'phantom shorts' created in many cases for the express purpose of manipulating the stock price.

To: Mama Bear who wrote (179)	5/13/2000 10:00:00 PM
From: dday	Read Replies (2) \| Respond to of 543

Question#3 Yes, the broker knows day to day what has been lent from each account. All you have to do is ask. At the firm that I clear through (been licensed 20 years and independent BD for 10), those figures are coded on the customer position screen. Thus, I know day to day what has been borrowed from each account. I should also mention that, even though you have a margin account and debit balance, you have the right to request that none of your securities by hypothecated. Although most customer agreements that you sign ( and probably never read) give the broker this right, you can revoke it. Maurice and thread, Best of luck in your endeavor. I hold no position in GSTRF at the moment but wish all you longs well. Regards Bob