If I hold a short position over the weekend or holiday, will I be charged?

All short positions, whether located, pre-borrowed or on the easy to borrow list, if held after 8 PM ET, the cut off period to close your position, will pay an Overnight Borrow charge starting that night and every night after you hold your position short. This will include Weekends and Holidays.

For example, if you short 100 shares of XYZ on Friday, and you close out your position on the following Monday, you will pay an Overnight Borrow charge Friday, Saturday, and Sunday. If Monday were a holiday, and you closed your position on Tuesday, you would be charged an Overnight Borrow charge on Monday also.

How are Overnight Borrow Rates calculated?

All short positions held overnight are charged at the daily market rate which changes based on market conditions. In your client portal under Tools > Overnight Borrow Calculator, you will find an overnight borrow fee calculator which will provide an estimate for borrow costs related to any shares you would hold short overnight.

*If an account receives a Reg SHO Notice, the shares receiving the notice, no matter whether a fee was paid, will need to be liquidated as per Reg SHO Notice.