Common use of Short Sale Transactions Clause in Contracts

Short Sale Transactions. Any credit resulting from a short sale (including a short sale against the box) will not reduce your debit balance on which interest is charged because the securities sold short must be borrowed to make delivery to the purchaser and an amount equal to the proceeds of the short sale must be deposited with the lender. You are liable for all dividends and interest paid on securities borrowed for “short sale” purchases. The value of securities held short in your account will be “marked to the market” daily. Any resulting increase or decrease in the market value will be included in your adjusted daily debit balance. SFI may at its discretion, for any reason and without notice, immediately cover any short security position by purchasing securities for your account.

Short Sale Transactions. Any credit resulting from a short sale (including a short sale against the box) will not reduce your debit balance on which interest is charged because the securities sold short must be borrowed to make delivery to the purchaser and an amount equal to the proceeds of the short sale must be deposited with the lender. You are liable for all dividends and interest paid on securities borrowed for “short sale” purchases. The value of securities held short in your account will be “marked to the market” daily. Any resulting increase or decrease in the market value will be included in your adjusted daily debit balance. SFI IFCF may at its discretion, for any reason and without notice, immediately cover any short security position by purchasing securities for your account.