And to prove my point, how many times does Jesep have to explain/post the same damn thing to JS because of the spin game being played
Also consider the posts deleted 3 times which is absolutely ridiculous.
Folks everything Jesep is posting is 100% accurate about stock certificates and JS knows it. JS also knows how deflect and distract....
https://investorshub.advfn.com/boards/read_ms...=165720081
Jeseps0036 Wednesday, 09/01/21 02:08:43 AM
Re: janice shell post# 51359 0
Post #
51363
of 51365
As I’ve explained Janice, brokers do NOT typically maintain their own inventory of shares for OTC tickers or even many other small cap tickers. Most securities are held in “street name.” When a buyer makes a purchase, the broker credits the client with the shares as a “beneficial owner”, but the certificate will have the name of the brokerage on it.
If you read the small print of many brokerage agreements, you will see that you give the brokerage the right to lend your shares at their discretion (including for their own benefit)…so you never really own them. The brokerage only ever owes you the cash as a result of a trade. They expect and hope that a client will simply buy and sell their shares without ever requesting actual ownership, as this makes it very easy for them to manage their books. But, if a client wants physical paper stock certificates (for a fee), then the broker has to provide them…although digital certificates do exist. If the broker does not possess the actual shares in their inventory, then they will need to obtain them before transferring ownership to the client.
The inventory becomes an issue when brokerages have credited client accounts with shares, but do not actually have the shares sitting around in their inventory…because they never bought them in the first place or did buy them and then loaned them out without covering. As you can imagine, this can spin out of control quickly…especially with sub penny tickers where millions of shares may be “beneficially owned” by individual clients. It is possible with “street name registration” for more than one person to be the beneficial owner of the same shares. Therefore, when the brokerages are instructed to account for all shares held by their clients, they may find themselves in a problematic situation if they have loaned all the shares out without buying them back.
It is not hard to see how quickly this can result in a massive squeeze as brokers will have no choice but to buy at the market price in order to balance their books.
janice shell Member Level Wednesday, 09/01/21 02:12:38 AM
Re: jseps0036 post# 51363 0
Post #
51364
of 51365
And why do you apparently assume I don't know any of that?
It is not hard to see how quickly this can result in a massive squeeze...
On the contrary, it is. But then you've apparently never bothered to figure out what actually happened in 2015.
https://investorshub.advfn.com/boards/read_ms...=165720087
https://investorshub.advfn.com/boards/read_ms...=165718168
$13
$CRGP
Also consider the posts deleted 3 times which is absolutely ridiculous.
Folks everything Jesep is posting is 100% accurate about stock certificates and JS knows it. JS also knows how deflect and distract....
https://investorshub.advfn.com/boards/read_ms...=165720081
Jeseps0036 Wednesday, 09/01/21 02:08:43 AM
Re: janice shell post# 51359 0
Post #
51363
of 51365
As I’ve explained Janice, brokers do NOT typically maintain their own inventory of shares for OTC tickers or even many other small cap tickers. Most securities are held in “street name.” When a buyer makes a purchase, the broker credits the client with the shares as a “beneficial owner”, but the certificate will have the name of the brokerage on it.
If you read the small print of many brokerage agreements, you will see that you give the brokerage the right to lend your shares at their discretion (including for their own benefit)…so you never really own them. The brokerage only ever owes you the cash as a result of a trade. They expect and hope that a client will simply buy and sell their shares without ever requesting actual ownership, as this makes it very easy for them to manage their books. But, if a client wants physical paper stock certificates (for a fee), then the broker has to provide them…although digital certificates do exist. If the broker does not possess the actual shares in their inventory, then they will need to obtain them before transferring ownership to the client.
The inventory becomes an issue when brokerages have credited client accounts with shares, but do not actually have the shares sitting around in their inventory…because they never bought them in the first place or did buy them and then loaned them out without covering. As you can imagine, this can spin out of control quickly…especially with sub penny tickers where millions of shares may be “beneficially owned” by individual clients. It is possible with “street name registration” for more than one person to be the beneficial owner of the same shares. Therefore, when the brokerages are instructed to account for all shares held by their clients, they may find themselves in a problematic situation if they have loaned all the shares out without buying them back.
It is not hard to see how quickly this can result in a massive squeeze as brokers will have no choice but to buy at the market price in order to balance their books.
janice shell Member Level Wednesday, 09/01/21 02:12:38 AM
Re: jseps0036 post# 51363 0
Post #
51364
of 51365
And why do you apparently assume I don't know any of that?
It is not hard to see how quickly this can result in a massive squeeze...
On the contrary, it is. But then you've apparently never bothered to figure out what actually happened in 2015.
https://investorshub.advfn.com/boards/read_ms...=165720087
https://investorshub.advfn.com/boards/read_ms...=165718168
$13
$CRGP
1
Calissio Resources Group, Inc. (CRGP) Stock Research Links
U.S. Constitution
"The Preamble
We the People of the United States, in Order to form a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defence, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity, do ordain and establish this Constitution for the United States of America."
Oath
"I solemnly swear to support and defend the Constitution of the United States of America"
The Flag
"I pledge allegiance to the flag of the United States of America, and to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all."
"The Preamble
We the People of the United States, in Order to form a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defence, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity, do ordain and establish this Constitution for the United States of America."
Oath
"I solemnly swear to support and defend the Constitution of the United States of America"
The Flag
"I pledge allegiance to the flag of the United States of America, and to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all."
Quote:If the broker-dealer fails to deliver for 13 days, the regulation imposes a “close out” duty to purchase and deliver securities “of like kind and quantity.”
https://www.bloomberg.com/opinion/articles/20...ify%20wall
https://www.scotusblog.com/case-files/cases/m...v-manning/
