I believe it is up to the broker.
Brokers with higher standards should be completely hedging all positions (and as such yes borrowing an equal number of shares).
However in this cowboy industry I can imagine that their are brokers that are profiting (and losing) based on client trades.
I could be wrong on the above, I just know what my broker does.
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I believe it is up to the broker. Brokers with higher standards...
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Ron Miller, Non-Executive Director
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