July 17, 2012
30 FINRA actions against HSBC. trivial fines.
take their license away to do business in the united states.
it is time to put some teeth into enforcement.
confirm customer segregated funds AND customer portfolios. those that cannot meet those requirements should be out of business as insolvent. anti-money laundering procedures have to be in place for all business.
exchanges should test to make sure that marketmakers are taking both sides of the trade, not just shortselling/covering. marketmakers should get a little benefit for making the market but not 60 days to cover, not 10% margin to use the way that they want. they certainly should not be able to orchestrate a conspiracy.
options and derivatives depend on a counterparty and should not be used to cover shortselling. there is a reason those products were not bought in at the time of an audit. it is because such products are in another brokers' inventory and therefore cannot be declared in the shortseller's portfolio.
until you do this, you are perpetrating the biggest ponzi scheme of all time, the three stooges financial system.
if you don't fix this right away, you will find the stock market is permanently damaged, and you might find such a dissatisfaction with government that things could get pretty terrible. if there is no place to put your $, you have fenced the retail investor in to such a degree as they cannot retire, cannot recover. business will slow to a dead stop because of lack of trust and uncertainty. we cannot live under a government run by shortsellers. shortselling is a capital outflow from the market.
suzanne hamlet shatto