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Microcap & Penny Stocks : Naked Shorting-Hedge Fund & Market Maker manipulation? -- Ignore unavailable to you. Want to Upgrade?


To: rrufff who wrote (148)4/7/2005 1:27:35 PM
From: tyc:>  Read Replies (1) | Respond to of 5034
 
Our complaint is not about hedge funds but about a hedge fund strategy.

I read in a book about hedge funds:, "... other organizations were using hedge fund strategies outside the hedge fund arena. The preeminent examples of this phenomenon are the Wall Street brokerage and trading firms, who practiced and continue to practice a wide variety of hedge fund strategies for their own accounts".(All About Hedge Funds.. R.A. jaeger)

(If it walks like a duck and quacks like a duck, it IS a duck).

I have thought that the responsibility for borrowing stock to allow a short sale rests with the broker. It is the broker who executes a naked short for a hedge fund. If the brokerage firm will execute "naked" for the hedge fund it is reasonable to believe that it will do so for its own account too.

Perhaps "self regulation" of/by the brokerage industry is a case of the fox guarding the hen-house ?