Such a mature, intelligent response. But I suggest that before you try belittling anyone, you really should do a little research on CFR Regulation T and you may not look so foolish.
From Investrade website:
Regulations dictate the amount of cash or equity that must be deposited and maintained as collateral against your margin loan. The amount you can borrow on margin toward the purchase of securities or for personal use is typically limited to 50% of the value of marginable securities in your account. However, the market price of the security must generally be above $3.00 per share and may not be a pink sheet or bulletin board stock."
It is my understanding that stocks trading at or below $3/share are NOT margineable. In other words, the margin requirement is 100% of share price.
Can you please explain how someone is going broke when they shorted this or any other stock in the 30's or 20's or teen's and the stock price is now in the 2's? "Shorts going broke"............A Glittering Jewel of Colossal Ignorance!
Thanks for the insight.........
7 posts | Last Activity: 12 hours ago
Member since: Sep 28, 2015
Since 1 share of LNCO represents ownership of 1 unit of LINN, I would think they would be considered "Substantially Identical" securities. Many people here disagree and one so-called expert says that the IRS would never catch it. Personally I don't feel that it's worth the risk, not even considering the potentially onerous tax consequences of the trade itself, regardless of the Wash Sale rule.
Why Doctor, you've only been in practice here for less than a month. Might your prescription here be less than altruistic?
"due deliverance"..........You just said all you need to say. Now go back and study your MSNBC and Al Jazeera and come back and tell us all what "you" think, TOOL.