Sec Rule 201

[Nobert]

Stocks in robot companies.
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A guy came in a bar for a drink and the robot asked him, "What's your IQ"?
The man replied, "130".
So the robot proceeded to make conversation about physics, astronomy, chemistry, philosophy, and so on.

The man listened intently and thought, "This is really cool".

Another guy came in for a drink and the robot asked him, "What's your IQ?"
The man responded, "100."
So the robot started talking about the football, baseball, cars, fixing the house, and so on.

The man thought to himself, "Wow, this is really cool".

A third guy came in to the bar. As with the others, the robot asked him, "What's your IQ?"
The man replied, "70".

The robot then said, "So, what's stocks are you buying these days?"

good one, good one

 

[darp]

About $35/day for that position today, but it’s floating and in this case highly variable rate. It used was as high as $500/day not long ago.


The rate varies widely, based on the broker, the stock, and the day. IB has a tool where you can check this so you won’t get an expensive surprise, but generally if you’re short selling hard to borrow stocks, you should know this and be aware of the extra costs and risks involved.

https://ibkr.info/article/2024

There is a site that takes that data and then ranks it and you can type in symbol and get rate and shares availible. On the shares availible it is accurate especially if zero, but if they say 200,000 there may be millions, they say"at least". https://iborrowdesk.com/report/HUSA

 

[Nobert]

There is a site that takes that data and then ranks it and you can type in symbol and get rate and shares availible. On the shares availible it is accurate especially if zero, but if they say 200,000 there may be millions, they say"at least". https://iborrowdesk.com/report/HUSA

Based on that site, yesterday, AMD fee was 0.3%, so i would pay that each time i shorted shares when scalping or only once a day, no matter how many times i went short ( that day ) ?

Thanks.

 

[darp]

I am thinking about starting a thread of issue of "hard to borrow" stocks with massive interest rates, like AIPT, which is often 106% lend rate. A year ago it was $1 now it $1.05 and has been 100%+ to lend for that year. So shorts have paid out maybe $1.15. So if it drops to zero they still lose money, it is impossible for them to ever make money.

I am in "fully paid" program at IB and Etrade and get 1/2 so over 50% "interest or dividend" or however you want to look at it and it is paid daily prorated. On AIPT am mystified as to why the shorts never cover. About 90% of my stock is borrowed on average over last year, it's insane. Can anyone explain their seemingly suicidal behavior? You can lend TSLA for just 1%, why lend AIPT for 106%? I know more about this subject than anyone I know, yet am mystified. So thought Elite Trader is good place to find someone that knows more. Are there any good threads here or info anywhere on web to understand the extreme interest rate short positions? And how shorts operate? If you are a short specialist that lends 100% interest rate neighborhood stocks to short, would love to chat with you to understand it.

One theory just came up with is maybe naked shorts have shorted 175% of the stock ala movie "The Producers"

then the surefire flop stock survives and they are stuck unable to cover the stock.

 

[darp]

Based on that site, yesterday, AMD fee was 0.3%, so i would pay that each time i shorted shares when scalping or only once a day, no matter how many times i went short ( that day ) ?

Thanks.

You are welcome, yes tiny tiny cost on AMD hard to notice so small. TSLA too is often only 1.5% or so, but AIPT 91% and AIPT 106%. Why do people pay so high? Not easy to explain.

 

[Nobert]

You are welcome, yes tiny tiny cost on AMD hard to notice so small. TSLA too is often only 1.5% or so, but AIPT 91% and AIPT 106%. Why do people pay so high? Not easy to explain.

The day when stock tanked down and someone borrowed huge ammount of it , doesn't match, so most likely those retailers who were late to the party ( one day too late ? ), felt for false expectations ( ? ) , that this is going to happen again. Just a guess.

I have no idea about September tho.

 

[Nobert]

@vanzandt ,

good old days