Zeev's Turnips Patch-No Politics (ZEEV)

[S Chun-Li]

So what happens if the broker decides to do what they do with collateral when a margin call arrives?

They would try to sell it. But the client is restricted from selling it so the client would be breaking the law by handing it over to the broker.

The broker would have to be willing to accept an IOU backed by the promise of payment when the restriction ends. But what broker is going to accept an IOU due in five years that depends on the future value of a stock?