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NewHerb

10/12/08 12:57 AM

#80251 RE: tomm #80249

Question: How would I lend shares to someone who wished to short the stock?

I don't understand this naked short business. My impression is if I wished to short a stock the broker would execute the short if the shares were in his inventory. In actuality, the shares covering my short might have different serial numbers at day one and at the last day.

How does the party lending the stock to be shorted get paid?