JER Investors Trust Inc. Message Board

rjs5 - How do shorts pay a dividend in stock. I assume for cash dividends, the holding broker takes their account equity. Do they do the same for stock divs, and buy stock? I'm confused as to how it actually works, vs. how people 'think' it should work.

Thanks in advance.

Great point about the shorts. I've been so involved with what Scottrade and some of the other brokers are going to do, that I forgot about our shorty friends. They will be paying dearly come Friday, at about .83 per share! That ought to be worth about a dime or so on the upside, don't you think?