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Yes. Specifically, your shares will just turn into cash in your brokerage account. You don't need to initiate a sale. Note that this happens even if you're goi
by escot 4y ago
Yes. Specifically, your shares will just turn into cash in your brokerage account. You don't need to initiate a sale.
Note that this happens even if you're going to lose money on your investment.
- cwkoss 4y agoWhat happens to shorts? Does "debt of 1 share" just turn into "debt of cash value"?
- escot 4y agoShorts are forced to cover so they have to go out in the market and buy. So effectively they lose their money. I made a video about some possible outcomes: https://www.youtube.com/watch?v=LYFqQ6yk9vs https://www.youtube.com/watch?v=LYFqQ6yk9vs