Remember the biggest lenders of stock (for short selling)are Superannuation/Pension funds. The biggest borrowers of shares to short sell are hedge funds. Why do super funds lend their OWN portfolio to someone whose intention is to drive down (and benefit from) a fall in SP? Because the super funds get fees and interest from Hedge funds when lending shares. The dealers at the super fund want to earn big bonus in short term. They don't care if in longer term the super fund tanks. It isn't their money. Many surveys show people will take huge risks with other-people's-money that they wouldn't dream of doing with their own.
MRE Price at posting:
69.1¢ Sentiment: None Disclosure: Not Held
