RE:RE:RE:RE:The Billion Dollar Class Action To Stop Naked Short SellingI bang on this drum frequently and want short selling and naked short selling outlawed completely.
The creativety of the people that generate this type of investment vehicle is astounding but ultimately leads to the tail wagging the dog as it gives those coerced and in the know access to huge profits at the expense of the unknowing.
Once in a blue moon you see a SEC action where they slap the perps with a small fine that is more of a cost of doing business than any kind of deterrent.
I was raised to believe that selling something that wasn't yours was wrong as in theft wrong.
The problem is that the big money players have their thumbs on the scale and it is hugely profitable without much downside.
They get a fee for "arranging" short sales and if the short investor is working on margin they get a nice interest rate to cover for the fact that they didn't put up any cash.
Unbeknown to the rightful holder of these shares, his investment is being gambled without his knowledge and put at risk by forces trying to drive the value of those shares down, by coercion of ganging up to force the price of said shares down.
What drives the sp down can also drive it up when the coercion doesn't get a grip.
I'm thinking about Tilray back in the day where short sellers went up against a tightly held group of Tinley investors who stuck to their guns and forced the shareprice from $150 to $300 for them to cover their bet.
That doesn't happen very often but since Canopy did their 1 for 10 consolidation, I beleive that Canopy shares will be in short supply when the US finally legislates legal marijuana and short supply means higher prices for those that want to invest in what will become a US MSO in a well known name for a company that has been all leaned out to be hugely profitable in the larger US market.
Klein says he is moving this forward and todays news about Florida putting this on the ballot will pale by comparison to a proper Federal legalization bill to legalize marijuana as the new vice and Canopy finishing up their deal to merge Acreage with Canopy in to the new holding company Canopy USA.
For the uninformed the money has already transferred for the Canopy/Acreage rto and they just have to print up enough new shares of Canopy to cover off their deal with Acreage.
US investors are being held hostage on a proper legalization effort by politicians who are using this as a political plum.
Biden needs to get this on the ballot for 2024 to reap those votes that he is going to need to keep the Trumpsters in the dumpsters!