4 ms·

But if the stock goes to zero and you are shorting it the trade was massively profitable. why would you then be at risk of a margin call?

• lmm 4y ago
  If trading is halted or it's delisted, how can you prove the value of the stock is zero?
  • drexlspivey 4y ago
    You don’t have to “prove” anything, you already got the money
    • lmm 4y ago
      You're still stuck paying borrow fees and posting collateral, potentially forever.
      • thefreeman 4y ago
        This is just wrong. If the stock is delisted you no longer are "borrowing" anything. There is nothing to borrow.
        • lmm 4y ago
          An unlisted stock is still a stock, you still have to have a borrow for it until the company is fully wound up (which could be years after being delisted).