You should all be aware that specialists and others in high technical positions within the exchanges, hedge funds, major brokerages, banks and so forth can and do take advantage of loopholes and arcane interpretations of what is and is not allowed with respect to 'shorting' and related activities. These professionals have decades of experience to fall back on and even more lawyers whose sole job it is to figure out how to maximize their income at your expense.
I've always heard that if you put a limit sell order on your stock it can't be loaned out to short. I've never verified that information but it does make sense. Put a $100 limit sell in on GG.
I was told that if you have a "sell order" in that your shares can't be loaned out. For instance, if I have a sell on SLW for 10,000 shares at 18.00, those shares couldn't be loaned out because they are "tied-up". I always do this. I also have BGO and it has taken off so much lately that I almost forgot to up the sell order before it actually sold!!!
Maybe others will know whether this is true or not. Possibly I am just wasting my time.
"Since shorting and trading on margin are considered banking functions, they are actually governed by rules set by the Federal Reserve Board, not the SEC, although the SEC is the enforcement body. All retail shorting must occur with stock held in margin accounts, not cash accounts. Non-taxed accounts, 401k, IRA, etc., are all cash accounts."
So by law, shares held in cash accounts cannot be loaned and of course your shares held in street name cannot be loaned either.
No, it's not generally true. Call your broker for clarification of their policy,(why don't more people do this?) but most will lend shares even if a GTC order is in place. They don't have to worry if your order is out of the money, do they?
Also, this stock has a large float and small short position. So there are plenty of shares available for shorting at the major brokerages.
Because ACD is a poster of BLOGS, acid, bad news, anti anything, negativism, evil, bigotry. He is a spewer of FUD and should be ignored.
This has NOTHING to do with SLW, silver, PoS, investing, stock markets.
He is a CLICK
After watching and reading what the shorts did to silver bullion decade after decade, I am not a believer that shorts are good for the longs! Also, many companies have been strangled by shorts. If SLW is 19 out of 20 on the most shorted list in Canada, I don't think I want to give them my shares too.