Newbie question regarding warrants borrow fees

Discussion in 'Trading' started by tonyf, Jun 17, 2020.

  1. tonyf

    tonyf

    Am I correct in assuming that exchange-traded warrants are free to hold short overnight with IB?
    Can't find any info on the SLB Tool.
    Thanks
     
  2. zdreg

    zdreg

    Yes. They are free to hold overnight like any stock. If they are hard to borrow there may be a fee to pay, You may also receive a buy in notice if the firm cannot no longer borrow the shares.
     
    Last edited: Jun 17, 2020
  3. tonyf

    tonyf

    stocks are not free to hold of course. What do you exactly mean here?
     
  4. zdreg

    zdreg

    A short position is free to hold overnight if it is easy to borrow. If it is hard to borrow you have to pay a fee,
     
  5. qwerty11

    qwerty11

    Not true, you pay borrow fees on any stock. The only variable is the daily interest.
     
  6. qwerty11

    qwerty11

    Warrants work exactly the same as US stock.
     
  7. tonyf

    tonyf

    Are you saying same borrow fee as underlying?
     
  8. zdreg

    zdreg

    There is no borrow fee on easy to borrow stocks. Check it out before posting misinformation,
     
  9. tonyf

    tonyf

    I have. Lowest i could find is 0.25 per cent and varries daily.
     
  10. zdreg

    zdreg

    check out spy or msft or aapl
     
    #10     Jun 18, 2020