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Re: SevenTenEleven post# 2481

Monday, 03/21/2011 10:23:46 PM

Monday, March 21, 2011 10:23:46 PM

Post# of 20257
So let's say someone borrows shares and shorts sells them. Assume their margin interest is $10...

If it's a penny stock, assume their margin and maintenance is $2.50 PER SHARE. Now, if they're professionals, they'll pay less--whatever kind of deal they made with their clearing firm--but it's still VERY expensive.

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