Flexpower Inc. (FLXP)

[MCArmel1]

Peter just called me back and pointed me to it at Scottrade and yes.. it is SEC Rule.

http://www.sec.gov/rules/final/34-50295.htm


Scottrade Brokerage Account Agreement reads:

60. Pledge of Securities, Options and Other Property. All securities and other property now or hereafter held, carried or maintained by us in or for your Account may, from time to time without notice to you, be pledged, repledged, hypothecated or re-hypothecated by us, either separately or in common with other securities and other property. The values received may be greater than the amount you owe us.
Any losses, gains or compensation resulting from these activities will not accrue to your brokerage Account. We are required under SEC rule 15c3-3 to retain in our
possession and control all fully paid-for securities. Securities used as Collateral for Margin Loans are not fully paid for and therefore are not subject to the same obligation.

http://scottrade.com/formscenter/PDF/111_BrokAccAgreement.pdf


"This is not only scottrade policy, but SEC regulation. It is in all the brokerage agreements you signed when you opened your accounts." correct R-money!


"hypothecated or re-hypothecated" I said "hypothesized or rehypothesized"... homogenized.. knew it was something like that..LOL!