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Technology Stocks : TAVA Technologies (TAVA-NASDAQ) -- Ignore unavailable to you. Want to Upgrade?

To: John D. White who wrote (12588)	3/13/1998 8:51:00 PM
From: Zebra 365	Read Replies (2) \| Respond to of 31646

Gee John, I collapse in the face of your pusilanimous pugnaciousness. In fact I have shorted quite a few stocks in my time. And the terms you get on shorting are just like the terms you get in banking, negotiable. Incidentally, marginability of any stock is first controlled by the Federal Reserve Board because it has to do with a "banking function" ie. the lending of money based on adequate collateral. Then the retail broker you work with sets terms of your banking account, ie. what you get charged for and what you don't. What your lending rates are, etc. This goes back to 1934 in the Market (creating the SEC) and to the Glass-Steagle act regarding the separation of commercial banking and investment functions. Unfortunately the terms that YOU get, John, are not the same as the terms that I get. I think it has a little to do with being a major customer. I get paid interest on the cash from my shorts, and I don't get charged interest on stock loans, because my broker doesn't pay interest on his stock loans. I leave it to your fertile and fetid mind to figure out why this is. My example was to illustrate a point, that downward pressure on stock prices may come from warrant conversions in that they are sometimes a way of transferring market value into the company coffers without technically doing a secondary offering. My example was also based on my portfolio in which there would be ample opportunity to short TAVA based on the equity in my margin account, if Schwab had declared TAVA marginable. We reserve the right to be smarter tomorrow than we are today. Please don't try to reverse that process. Zebra