Concurrent long and short same security?
- Thread starter 8hcap
- Start date
I think I said "why bother"? It's the same as buying and selling the same day practically...your sheets will show both until the stock settles, or buying one day and selling the next, again, you'll "show" both on your sheets.
I agree with the above, any attempt at manipulation is illegal, period.
Whenever you need a complete legal answer, I'm sure my Compliance Officer can be billed out a $300 per hour or so, LOL.
We pay a lot of money to keep everything squeaky clean, and I defer to her quite often. My answers are based on my knowledge base, and anything on a public board should not be taken as legal advise.
Don
then ask a high end securities lawyer and they will say yes. ..at least if the intent is not to manipulate or cirvumvent upticks or tax deferral, but simply to get around short inventory problems.
i should probably direct the question to IB compliance since the issue is really with inconsistent availability on etf's at IB. i even did a little experiment on an etf that trades ~1.5mm shares a day that recently became unshortable for the first time 6-8 months i've been trading it through IB. I bought 2000 shares, and had a friend attempt to short it from his acct within 3-5 mins of very low trading, and none was available to him. raising the question with the IB trade desk and their rep presence on et were both cold brick walls, i'm a reasonably high revenue customer and was dissapointed. i'd like to demystify the short inventory issue, it feels like someone is benefiting at my expense because the inventory is only gone when the edge is best
someone should seriously poll and backtest these inventories, close the loop per se
I remember at some broker, i had to sign a letter before they would allow me to open 2 accounts (and yes a way around that is simple open at 2 diff houses), the letter i signed simply was an admission be me that i needed 2 accounts and was at certain times going to be short and long in the same instrument but this was not "an attempt or intention to manipulate the market and was for tactics or strategies only."
BANJO, thanks...........yes indeed i do not always fly with the flock now and then. Some of us birds wing it at a different tact.
Good trading to you, some have asked in chat where you went. We say you are busy counting money. Have a good day.
Personally i see no reason why someone could not do stocks long and short. Brokers are more worried about commissions and certain strats, tactics that require more trades are welcomed. LOL The brokers job is not to worry if the tactic is a good one or not.
In General, hedging a stock, future is a bad idea, it in many cases is merely hedging a loser..........WRONG. Good luck ,
BANJO, thanks...........yes indeed i do not always fly with the flock now and then. Some of us birds wing it at a different tact.
Good trading to you, some have asked in chat where you went. We say you are busy counting money. Have a good day.
Personally i see no reason why someone could not do stocks long and short. Brokers are more worried about commissions and certain strats, tactics that require more trades are welcomed. LOL The brokers job is not to worry if the tactic is a good one or not.
In General, hedging a stock, future is a bad idea, it in many cases is merely hedging a loser..........WRONG. Good luck ,