Hi Sharks
Thanks for the info. I personally operate a trading account through my bank so have no idea who my broker is, but after reading that article I thought perhaps the banks have rights to lend any shares you are holding in one of their trade accounts, in the same way they have rights to lend your money out that you have in one of their bank accounts. I'm actually going to write an email to them and check this.
My understanding was that a classic short was where Person A borrows the shares from Person B, then immediately sells them on the open market and takes the money, then waits for the share to drop in value before buying back in at a cheaper price and returning the shares to Person B. I don't think Naked Short Selling is even legal in Australia.
@The Dean - I am both confused and suspicious of your responses and links.
