Replies to post #78520 on Sunshine Biopharma Inc (SBFM)

[MarketMayhem]

riskreward007 Wednesday, 02/22/17 12:04:39 PM
Re: Rhew123 post# 136576 0
Post #
136589
of 228650
Why locking up your shares is a myth.

No sell order at ANY PRICE "locks up" your shares.

Do you have a "margin account" with your brokerage? If you do? Then you accepted an agreement in the account sign up process and your SFOR shares (or any other shares) can be borrowed from you and loaned out.

This is TRUE FOR ALL ONLINE BROKERAGES.

Have a cash account only with no margin account enabled. Then your SFOR shares are safe from being borrowed.

Not convinced that the "lock your shares up with GTC orders" is just a myth?

Contact your broker (etrade, tDA, scottrade, fidelity, etc) and do two things:
1.) determine if you're cash account only or if you've enabled margin trading.
2.) request a "Loan Exempt Restriction". This restriction exempts your shares...all shares in the account, from being loaned out.


Still not convinced...

Read FINRA RULE 4314-4330. The rules specifically cover the borrowing and loaning of shares held in accounts of online brokerages as well as brick and mortar brokerages.

GTC orders DO NOT LOCK UP YOUR SFOR SHARES.


So why is it important to dispel this myth?

Simple...if you believe the myth, and you've done nothing more than put a GTC order in for your SFOR shares then YOUVE ACTUALLY DONE NOTHING AND YOUR SHARES ARE STILL BEING BORROWED AND LOANED OUT.

Any trader, on any board who perpetuates this myth does more harm than good.

CORRECTLY "locking up your shares" HURTS "SHORTY".

Incorrectly locking up your SFOR shares ACTUALLY HELPS SHORTY!

How? How does incorrectly locking up your shares HELP THE VERY GROUP OF TRADERS YOU DONT WANT TO BE HELPING IF YOURE LONG SFOR?

It helps them because you only THINK you're locking up shares...but you haven't locked up anything. So now, thinking you're shares are safe from shorty, they're not at all safe and shorty gets to borrow borrow borrow all day long with you blind to the fact that you're actually hurting yourself.


Get the facts...repeat the facts...dispel the myth AND ACTUALLY MAKE YOUR LONG SHARES STRONGER BECAUSE THEY ARE OFF THE SHORTS TABLE!