Could we also make brokers/dealers notify their customers when their shares get shorted? Alternative, they could provide a disclaimer that such shares may be shorted and provide an option to opt out.
Mutual funds and exchange-traded funds (ETFs) are two of the most common ways for Americans to invest. These investment products have some important similarities, but they also have key differences.
Short positions should be updated intra-daily, full transparency. The fact that short sellers, marketmakers, and dark pool traders are in fact the same entity is mind-blowing. Level the playing field already!
FINRA is about as effective as a mall cop, police but have no teeth. Fines companies millions for crimes that made them billions. 3 generations have been short sold down the river. We would not have as many poor folks or homeless if the hedge funds didn't short companies to BK. Dark Pool trading has allowed hedge funds to short well past being a market maker. One hedge fund donates 70
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Regulatory Obligations and Related Considerations
Regulatory Obligations
Rules 203(b) (Short sales) and 204 (Close-out requirement) of Regulation SHO provide exceptions for bona fide market making activity. The SEC has provided guidance on what constitutes “bona fide market making activities” as well as examples of what does not; member firms must also confirm and be able to
Digital data doesn't require days to locate. Short interest and FTD data is able to and should be reported daily. The varying T+ cycles have proven to work in the favor of Funds that make their money shorting companies out of existence, by allowing them to be wildly over-leveraged in their positions and also creating opportunity to take advantage of methods like naked short selling. If the
It doesn't make sense in the information age to only make public short interest data on such a low cadence per month. There needs to be stricter requirements on mandating report of short interest. Thank you.
As a reminder, FINRA is introducing a new system for FINRA member firms to submit the FINRA Participation Agreement and manage TRAQS users. Beginning January 31, 2022, FINRA member firms will access the Participant Data Management System to complete these functions. The Participant Data Management entitlement was granted to all existing FINRA Participant Agreement and FINRA Order Form
I would love to have more transparency with companies taking short positions so that we can have somewhat of a level playing field. Maybe require companies to report short positions.
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