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Post by Deleted on Mar 22, 2019 8:39:24 GMT -5
Bocagirl - do you take the consistently declining interest rate to mean that there us a substantial, if not growing, base of shares available for borrowing? That's possible also maybe the SHORTS have decided not to short anymore therefore no need to borrow shares.
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Post by boca1girl on Mar 22, 2019 10:16:45 GMT -5
Bocagirl - do you take the consistently declining interest rate to mean that there us a substantial, if not growing, base of shares available for borrowing? I’m no expert, just sharing info. When I’ve talked to the Fidelity rep, they tell me the rates are dependent on supply and demand. So with the rate continually dropping, I can only conclude that there are plenty of shares available to short at the retail level. My shares have been pretty much been 100% loaned out since I joined the program 3+ years ago. Some of my shares were returned a few weeks back and only 25% of those returned shares have been loaned back out. So this is the first time I’ve had shares sitting on the shelf for weeks, ready to be loaned and this is the lowest rate paid since I’ve been in the program. With all that said, about 95% of my shares are still out on loan. Others on this board have said their shares were returned by Schawb a while ago. I can’t answer the question of “substantial”, but all signs point to more shares available than demand to short. I view that a positive.
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Post by markado on Mar 22, 2019 10:54:19 GMT -5
Thanks, all, for the perspective. Very helpful to understand that the demand to short could be...and, based on recent shares short reporting, is...declining, and that, more than more shares being available, could be the driver for the consistent decrease in interest rate paid.
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Post by sportsrancho on Mar 22, 2019 13:01:14 GMT -5
Why short when you can go long:-)
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Post by prcgorman2 on Mar 22, 2019 15:13:36 GMT -5
I'm not bocagirl, but I've heard it said prices are often linked to supply and demand.
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Post by boca1girl on Mar 25, 2019 9:09:49 GMT -5
Another new low, 2.25% being paid by Fidelity this morning. None of my shares have been returned in weeks, still 95% loaned out.
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Post by boca1girl on Mar 27, 2019 13:16:08 GMT -5
Another new low, 2.25% being paid by Fidelity this morning. None of my shares have been returned in weeks, still 95% loaned out. 2.125% today. No change in shares loaned out in my accounts.
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Loan Rate
Mar 29, 2019 6:49:21 GMT -5
via mobile
Post by brotherm1 on Mar 29, 2019 6:49:21 GMT -5
Is that 2.15% monthly or annually Boca?
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Post by boca1girl on Mar 29, 2019 7:09:28 GMT -5
Is that 2.15% monthly or annually Boca? It’s an annual rate. A far cry from the 50+% in the past. The amount is calculated and paid daily based on the stock price each day. If this 2% was paid as a dividend, it would be considered pretty good in this market. Apple currently pays a 1.55% yearly dividend.
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Loan Rate
Mar 29, 2019 7:21:18 GMT -5
via mobile
Post by brotherm1 on Mar 29, 2019 7:21:18 GMT -5
Thanks. I’m getting better than 2.15 in my bank money market accout. I’m surprised shares are being loaned out for a lower rate
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Post by boca1girl on Mar 29, 2019 7:33:46 GMT -5
Thanks. I’m getting better than 2.15 in my bank money market accout. I’m surprised shares are being loaned out for a lower rate I don’t understand your comment comparing your money market account and loaning shares.
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Loan Rate
Mar 29, 2019 10:29:33 GMT -5
via mobile
Post by brotherm1 on Mar 29, 2019 10:29:33 GMT -5
I’m getting 2.23% in my bank money market account. I would rather get 2.23% than 2.15%
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Post by awesomo on Mar 29, 2019 11:02:50 GMT -5
I’m getting 2.23% in my bank money market account. I would rather get 2.23% than 2.15% Ok, but the money in your bank account is just sitting there accruing interest, whereas bocagirl’s is invested into MannKind while also getting the 2.15% on top of that.
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Loan Rate
Mar 29, 2019 11:18:29 GMT -5
via mobile
Post by brotherm1 on Mar 29, 2019 11:18:29 GMT -5
oh
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Post by boca1girl on Mar 29, 2019 11:22:42 GMT -5
I’m getting 2.23% in my bank money market account. I would rather get 2.23% than 2.15% Ok, but the money in your bank account is just sitting there accruing interest, whereas bocagirl’s is invested into MannKind while also getting the 2.15% on top of that. Exactly. I hope that my investment in MNKD will pay big capital gains in the future and I will collect the 2.15% in the mean time to offset my big paper losses today. Money earning 2.23% in a MM is risk adverse (as long as they hold the buck), MNKD as we all know, has been a very risky investment.
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