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Non-Tech : MB TRADING -- Ignore unavailable to you. Want to Upgrade?

To: peter michaelson who wrote (633)	7/29/1998 5:54:00 AM
From: John Hunt	Read Replies (1) \| Respond to of 7382

<< How is the availability of shorts at MBT? >> MB Trading used to have a 'No shorts' list which consisted of about 100 or so stocks that could not be shorted, as shares were not available at Southwest. As long as the stock was not on the list, it could be shorted for intraday daytrading. If you wanted to hold the short overnight, you had to call in to formally reserve the shares. My understanding is that the SEC, in its infinite wisdom (?), decided that stocks to be shorted had to be positively confirmed, even for daytrading. This applies to all online firms, although brokers that are self-clearing (ie Datek) have an easier time automating it. So for now the situation at MB is more complicated. There is a master short list available as a text file or searchable via your browser through an MB link which is updated periodically. There is also a separate 'intraday short' list, which is updated every morning. If the stock is on either of these lists, it can be shorted on your computer. If a stock is not on either of these lists, you can call in and they will check availability and if necessary they will attempt to locate the shares for you. They then have to place the order for you, but you can cover the short in all cases on your computer. I basically restrict myself to using their lists when shorting, so it hasn't been a problem for me. MB Trading is working closely with Southwest to increase the number of companies on these lists and to further automate it. These guys really try hard to please! Yes, it is refreshing to talk directly with them when you call in. It is best to avoid calling around the market open though as they can be extremely busy helping any customers with login or account problems. Hope this helps. John