Can I short stocks under $1?

TradeZero International Clients can now short Stocks under $1 and above $0.50.Key

Requirement: $2.50 Per Share Margin.

Before shorting stocks under $1, ensure you meet the $2.50 per share margin requirement. This means that for every share you short, you must have at least $2.50 in margin available in your account.

Example:

If you short 1,000 shares of a stock priced at $0.80, you need $2,500 in margin (1,000 × $2.50), not $800 (1,000 × $0.80).

This requirement helps limit risk, as low-priced stocks tend to be highly volatile.