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nota nota is offline
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Join Date: Jan 2005
Location: cutler bay
Posts: 15,136
AS I UNDERSTAND SHORT SELLIN
a person goes to a CORP owning a stock
says let me hold the stock to sell it and hope to drive down the price
so they can later rebuy the stock cheaper and return it to the CORP

WHAT I COMPLETELY FAIL TO GRASP
is why on earth a CORP would want to do this
as I understand the CORP is paid a very small fee for this
as best case [for the CORP] the short seller loses his bet
and the stock in question goes up or stays about the same
and there is some question on how fast the CORP gets its stock back
worst case the CORP's stock holding has lost value
Old 09-19-2008, 10:26 PM
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