U.S. firms oppose rules to curb short selling

[Joanne98]

Source: Reuters

NEW YORK (Reuters) - Goldman Sachs Group Inc (GS.N) and Vanguard Group Inc are among U.S. companies opposed to rules proposed by U.S. regulators to limit short selling, according to letters filed by the companies.
The U.S. Securities and Exchange Commission had asked for comments on a proposal to reinstate the "uptick" rule, under which investors can short a stock only after it had moved higher.

In a short sale, an investor sells borrowed stock in anticipation of a price decline that will allow him to repurchase the shares at a lower price.

Some lawmakers and financial industry executives say short selling has worsened the financial crisis and driven down share prices.

Goldman and Vanguard were among several companies and exchange operators opposing new restrictions on short sales.


Read more: http://www.reuters.com/article/ousivMolt/idUSTRE58S2UB20090929

[Demeter]

1. What Goldman Wants, Goldman Gets

and what they really want is to be put out of our misery.

[BlooInBloo]

2. "Other investors, including T.Rowe Price, submitted letters expressing support for the new rules."

"We believe appropriate short selling serves a valid purpose and can enhance liquidity and price discovery," T.Rowe Price said in a letter signed by Michael Gitlin, head of global trading. "However, short selling has also been utilized as a device to manipulate stock prices in an abusive manner and has negatively impacted investor confidence."


From the same article.

Of course a variety of regulations needs to be put in place.

[WCGreen]

3. Boo Hoo...

[CountAllVotes]

4. two of the biggest crooks out there oppose

>>Goldman and Vanguard were among several companies and exchange operators opposing new restrictions on short sales.

Bunch of damn liars they are! I contacted Vanguard just last week to inquire and ask for assistance on my acct. with them which has a zero balance in it. They said they only give out "advice" if you are opening up with $100,000.00.

That said - Vanguard used to offer advice as to where to invest prior to the meltdown last year. They said they have never done this and that they would "get their wrists slapped" if they did. BULLSHIT.

Just shows what corrupt greedy freaks these people are.

As for Goldman, they are the worst criminals out there. I'd like to see Paulson tossed in jail but that will never happen!

:mad: :grr: :argh:

:kick:

[OregonBlue]

5. If these crooks oppose it then it has to be a good rule!!

[sinkingfeeling]

6. Isn't that a shocker?

[Orsino]

7. US firms oppose rules. n/t

[girl gone mad]

8. More scapegoating.

They don't like anything that gives smaller firms power over them.

[dixiegrrrrl]

9. All tne more reason I am happy I got out of Vanguard.

Sadly, they seem to have changed, and I no longer feel comfortable recommending them.

People today would better off not using any retirement programs. The rules, taxes, penalties and loss of control over your money is not worth it. If I had it to do over again, I would have simply socked away my money as a cash savings account. By the time most people under 60 are ready to retire, the money is gone via one bubble or the other.