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Re: melehuna post# 39506

Monday, 06/17/2013 12:44:56 PM

Monday, June 17, 2013 12:44:56 PM

Post# of 163718
My understanding is that not only the margin account shares are available for rent but that shares held in regular accounts that have a share registration in the name of the brokerage are also available. The only way to eliminate the possibility of the loaning of shares is to take actual possession of the share certificates and have them registered with the transfer agent as your property. One other possibility is to place a sell order at a ridiculously high price (for example, place a sell order for your entire holding of SIAF at $11 per share). This would cause the brokerage to hold your shares pending the possible need to deliver them to a buyer. The risk with that approach is that we all think the company is valued at much more.

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