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Microcap & Penny Stocks : BASHERS POST THEM HERE!!!!! -- Ignore unavailable to you. Want to Upgrade?

To: Dave Gore who wrote (46)	6/29/1998 8:28:00 PM
From: Henry Volquardsen	Read Replies (2) \| Respond to of 390

WHY DO 95% OF THE BROKERAGE HOUSES OUTLAW SHORTING ON BB STOCKS? Could it be because the NASD and SEC feels that stocks are too easy to manipulate on the downside and small investors can get hurt? As a matter of fact, no. That is not why most brokerage firms do not allow shorting of bulletin board stocks. They don't allow it because they are thinly traded equities which are generally not eligible for margin. As such they are not easy to borrow and the shares and would be subject to vicious short squeezes in the securities lending market. The brokerage firm is the one on the hook for this and gets very little income in exchange for the risk they are taking. They find it is much easier not to expose themselves to this and just put a blanket prohibition on shorting these stocks. Has nothing to do with wether they can be manipulated. Btw it is much easier to manipulate bb stocks to the upside and a hell of a lot more small investors get hurt in those manipulations.

To: Dave Gore who wrote (46)	6/29/1998 9:09:00 PM
From: CatLady	Read Replies (1) \| Respond to of 390

" Isn't there something wrong with someone who hopes companies in America will fail or have bad stretches? " Dave, I don't think you understand what shorting is all about. Let me briefly try to explain. Stocks are 'fairly' priced when that price properly takes in to account reasonable expectations of future earnings and growth. If someone comes to the conclusion that a stock is underpriced they should buy it. If they think it is overpriced, they should sell it. If you happen to find that overvalued situation on a stock you don't already own, you can sell short. Buying or selling (short) is simply a bet that the price of the stock will move to what one perceives the 'fair' value to be. "You are always hoping to make money at the expense of others." Isn't that what every market participant hopes? The only difference is whether you make money from someone who already owns the stock, or from someone who hopefully will come along later. Your profits don't come out of thin air. And with the exception of dividends, they also don't come directly out of the company, your profit come from the pocket of whoever buys the stock from you.

To: Dave Gore who wrote (46)	6/29/1998 11:03:00 PM
From: EL KABONG!!!	Read Replies (1) \| Respond to of 390

Dave, The original: exchange2000.com The satire or parody, if you prefer: exchange2000.com I think it is fair to say that you bit; hook, line and sinker. The gentleman was obviously pointing out that bashing/hyping is a two way street. KJC

To: Dave Gore who wrote (46)	6/30/1998 8:30:00 AM
From: Henry Volquardsen	Respond to of 390

Isn't there something wrong with someone who hopes companies in America will fail or have bad stretches? This is an unfair allegation. Being critical of a company is not being unpatriotic. It is an investors duty to analyze equities fairly and not fall for arguments like that. Our country is best served by investors who hold company management to rigid performance standards. Not by keeping silent in favor of hoping the country does well. One has to question the motives of someone who would make such a silly statement.