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EagleCheck

06/17/13 12:24 PM

#39508 RE: melehuna #39506

I'm on!

tomatotom

06/17/13 12:44 PM

#39513 RE: melehuna #39506

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.

downthehatch

06/17/13 12:54 PM

#39515 RE: melehuna #39506

AS tomatotom said, if you put in a sell order, the brokerage cannot lend out the shares that are pending sale, even if the price limit for your sale is well above the current market price.

I don't know about others here, but if I put in a sell order on my SIAF shares at $11.00/share, and they were sold at that price, I would be pretty damned happy!!