Replies to post #12265 on One Step Ahead

[Ignutz]

It's only legal Spark, if the certificates backing the shares exist and can be delivered to the purchaser within the 3 day settlement period. The broker/dealers get around this requirement by rotating their obligation to a fellow broker/dealer every 3 days like a hot potato to begin the clock ticking for another 3 days all over again. If they get to feel the heat they bring in their hedgefund co-conspirators to tie everything up longterm.

[howdy]

Spark, the STGI pink sheet trader told me that CMKX is a "non qualifying piggyback issue" that could not be shorted, much less naked shorted. The reason is that the MMs can't buy or sell CMKX for a profit, they can only facilitate a trade between buyers and sellers, and profit off the spread.

99% of all the posts on all the boards are incorrect regarding this, and I will take the word of an actual pink sheet trader over anybody else on an anonymous BBS.