I personally don’t have a problem with shorts. If there is a problem with your stock it gets exposed sooner rather than later and if there isn’t a problem then you get to increase your long term holdings at a discount.
Plus you get the nice short squeeze when the shorts close their positions
I meant the Products page no longer shows ISA as in the image below, it was there last month. However going through the new account form shows ISA option.
I am UK based, no VPN or anything of that sort.
I have read the changes documents in the email and its good that they have mentioned changes separately. The documents don’t mention changes apply to ISA or not. I read few replies above which say Share Lending does not apply to ISA account hence I’ve asked.
However, on a different note what happens when the party that borrows the share goes insolvent? Who takes that risk, especially in a volatile market? The two points below do not mention clearly who take that risk?
These questions have been answered above in this thread and also the one called Securities Lending. In short, you shares are guaranteed by Interactive Brokers and by cash collateral deposited by the borrower.
The share lending does not take place in an ISA. See here.
Please, scroll to the bottom of the page and check if your region is selected to United Kingdom.
regarding the nominee…
“13.1. You instruct us to hold any Investment bought on your behalf until we receive further instructions from you to sell that Investment or transfer it into your own name or to another nominee. We will hold Investment on your behalf in accordance with the FCA’s Client Assets Rules.”
“13.4. […] your Investments are held on your behalf, for your benefit and do not belong to us or any sub-custodian.”
So, to clarify:
- what if I instruct you to transfer it into my “own name”?
- if they do not belong to any sub-custodian, how can they be lent to others?