Replies to post #33918 on Anavex Life Sciences Corp (AVXL)

[imho]

Brokers give lip service to the cash account rule - but in reality there is nothing to stop them. I had a nice block of shares DWAC'd into IB non-margin account after discussing the stock and its situation with account executives then they say I can't sell it for a year, and in about 10 months it's oops, now it's two years. The person in charge of transfers at Continental (very reputable firm) had to intervene to get my shares back. He totally agreed with me that they took them in just to loan them out.

I repeat - there is nothing in place to stop your broker from loaning out shares in a cash account.

Thanks for your response. I tend to agree that there is nothing to prevent them from breaking the law/rule. Or, lying to their clients, I guess.

IMHO

[Capt_Smith77]

A former market maker once told me that the best way is to place high sell orders to prevent them from being loaned out.

[DownWithPumpers]

I repeat - there is nothing in place to stop your broker from loaning out shares in a cash account.

You're right about that. If you don't want your shares to be shorted the best thing to do is to not buy stocks that are way overpriced that people are desperate to short.

Putting in sell orders, or buying in a cash account is a waste of time.