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Monday, March 18, 2024 4:11:39 PM
I asked THIS:
Where do these imaginary naked short shares live then, if not in a brokerage?? In thin air? In someone's closet? If they exist there, then HOW EXACTLY would a person owning these magical short shares cover them?
They HAVE to be SOMEWHERE! They have to exist in some form, so that one of the big bad shorters (that are always talked about here) can cover them.
IF "Naked Short Shares" exist, then WHERE ARE THEY???? They HAVE to be in a brokerage, so that they can be pointed to when the covering occurs.
IF they are in a brokerage, the brokerage would report the shorted shares. Then, the TA would see a difference in the number of reported shares, as compared to the number of outstanding shares reported by the company.
If they're NOT in a brokerage? Then:
1. How can a brokerage house issue a margin call on shares they cannot even see?
2. How can the person who has the short position enter it into the system as being covered, without a broker????
WHERE. ARE. THEY??
I keep telling myself....deep breath....count to ten....try to answer without personal attack...if available, always try to present fact to back up your opinion.
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