How an apple can explain short-selling

one of the best analogies yet
How an apple can explain short-selling

http://www.bbc.co.uk/news/business-14510946


The small fee is no where near enough to compensate for the damage done by short sellers. The Securities Lending industry is a crock built on pittance bribes and deception/lack of transparency to shareholders whose managers have sold their customers assets down the river for a song. The regulations permit funds to lend out 30% of the fund to short sellers. Unfortunately, due to the nature of relative performance comparisons by Rating agencies like Morningstar, the managers are caught in a prisoner's dilemma of privatizing the gains and socializing the losses and most accept this as industry best practice. Is it any wonder the market has trouble going up over the long run now with the huge overhang of recursively short sold stock without an uptick rule in place to stop or at least significantly slow the process as more and more 120/20 or short ETF's come on board. Well gee at least we got rid of the FTD naked shorts only to see them hide behind ever increasingly sophisticated option trades that create synthetic short positions expanding the stock supply. Charles Hayes of Pacific Heights is winning the battle for control of your assets.

Contact your mutual/pension fund and ask them if they lend your stock to short sellers and if they do ...tell them to stop...and if they don't ... find a fund who doesn't sell your assets down the river for a song.
Sadly some of the biggest names in the mutual fund industry are also the biggest names in the securities lending industry.. Yes Mr. Bogle Enough is Enough...but your fund company is responsible for violating its fiduciary duty and my trust by doing something as imprudent as lending my stock out to trained assassins.