Yes. You still own your shares, so you can sell them at any time. Selling your shares while they’re being borrowed terminates the loan, and you’ll no longer earn interest off that share.
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You can unenroll from the Securities Income Program anytime by calling us at 1-855-880-2559
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To be a part of the program, you need to have a cash or margin account with at least 1 of the following:
- A net worth of at least $100,000
- An account value greater than $50,000
- An annual income greater than $50,000
- More than 5 years’ trading experience of any kind
Once every 3 years, we’ll send you a request to update your information. Or, to update sooner, call us any time.
Even if you don’t meet any of those requirements today, by consenting to participate, upon eligibility, we can auto-enroll you as soon as we know you qualify.
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While they aren’t all risks, there are a couple things worth understanding about the program before signing up.
Enrolling in the program doesn’t guarantee your securities will be borrowed. Typically, the securities that are borrowed are those that are harder to borrow due to a high demand and limited supply.
You relinquish voting rights on your securities while they’re on loan. This is something to consider if you own a significant percentage of a company or like to participate in proxy voting.
You’ll receive a substitute payment of cash instead of your regular dividend payment if your security is on loan. This may result in a higher tax consequence for that security because dividend income is taxed at a different rate. We recommend talking to a tax professional if you still have questions.
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