InvestorsHub Logo
Followers 40
Posts 1751
Boards Moderated 0
Alias Born 05/11/2009

Re: rekcusdo post# 121941

Wednesday, 05/12/2010 5:16:20 PM

Wednesday, May 12, 2010 5:16:20 PM

Post# of 375420
Regulation SHO requires bona-fide market-making activities to include making purchases and sales in roughly comparable amounts. The Commission has stated that bona-fide market-making DOES NOT include activity that is related to speculative selling strategies or investment purposes of the broker-dealer and is disproportionate to the usual market-making patterns or practices of the broker-dealer in that security. Likewise, where a market-maker posts continually at or near the best offer, but does not also post at or near the best bid, the market-maker's activities would not generally qualify as bona-fide market-making. Moreover, a market-maker that continually executes short sales away from its posted quotes would generally not be considered to be engaging in bona-fide market-making.

Oh well....