Hello all,
I just have a basic question but I can't find the answer anywhere. I use a spread bet account to trade so am not entirely sure on the process of shorting stocks through a broker. If you short a stock through a broker and the company goes bankrupt, do you keep the money and not have any costs because you cannot return the shares as the the company is no longer? Also what is the situation with a spread bet, would you receive a full payout down to 0 value? Hope that makes sense, many thanks.
DL
I just have a basic question but I can't find the answer anywhere. I use a spread bet account to trade so am not entirely sure on the process of shorting stocks through a broker. If you short a stock through a broker and the company goes bankrupt, do you keep the money and not have any costs because you cannot return the shares as the the company is no longer? Also what is the situation with a spread bet, would you receive a full payout down to 0 value? Hope that makes sense, many thanks.
DL