J
Just a thought
Guest
Can someone explain to me...
Why would someone lend shares to another for them to sell into the market, batter the price down and then return them back at far lower price???
Who ever lends shares to a short sell will be getting screwed???
The quantities of shares being borrowed is huge therefore they must belong to some institutions , such as super fund managers. Why would any fund manager lend the shares to drive the entity down to a point of business destruction, like in the case of Centro or ABC Learning? The fund may receive back the lending fee but if the value of the shares returned have no hope of recovering then the fund would be at big loss. If our superfund managers are wiping out the value of our super investments - then the thought is pretty scary and APRA better get a move on on regulating this activity!
Why would someone lend shares to another for them to sell into the market, batter the price down and then return them back at far lower price???
Who ever lends shares to a short sell will be getting screwed???
The quantities of shares being borrowed is huge therefore they must belong to some institutions , such as super fund managers. Why would any fund manager lend the shares to drive the entity down to a point of business destruction, like in the case of Centro or ABC Learning? The fund may receive back the lending fee but if the value of the shares returned have no hope of recovering then the fund would be at big loss. If our superfund managers are wiping out the value of our super investments - then the thought is pretty scary and APRA better get a move on on regulating this activity!