TS03 Inc Trust Units TSTIF

RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Big drop in short position

[Drrwong]

And who is the buyer on the other side of the trade??  It is very difficult to find a buyer of this size given TSO3's typical liquidity.  It is even harder to have one broker finding both the buyer and seller of this size!!

My guess is this is tax-loss or year-end window dressing type transaction, with the seller wanting to get back in after the New Year.  He/she needs an one-month hiatus from the stock for tax loss, so the timing of these trades make sense.  Sometimes a broker will facilitate this type of transaction by taking ownership of the stock for the one month period, and then selling it back to the seller (obviously for a handsome fee).  In a sense, it is like the seller never sold the stock for this one month.  This could be why these huge blocks were crossed internally within the broker.  Since this type of transaction is initiated by the seller, and the broker is just a facilitator, the seller can choose different brokers for different tranches of its stock--so maybe they chose CG today, and Scotia a couple weeks ago?  (depends which broker is willing to do it also)


Caveat:  this is just a guess on my part, and please feel free to share your thoughts on these big trades.