TradeZero or TD Ameritrade
For day-traders looking to take positions to the short side, it is advantageous to have a specialized broker like TradeZero for short selling.
No two brokers are the same and each may have unique strengths in individual areas. At Benzinga's Global Fintech Awards, we've been awarded: 'best broker for short selling' two years in a row.
Here are three reasons why we believe we're the best choice when it comes to trading to the short side.
Extensive inventory on micro-cap stocks
A day trader should never be excited and ready to take a trade, only to discover at the last minute that there are no locates for that symbol. As a specialized broker, we frequently update our inventory, providing an extensive range of locates for as many stocks as possible, including micro-caps and those with lower floats.
TradeZero covers more than 90% of premium/in demand locates with access to thousands of short symbols, many of which are accessible at no cost.
Locate shares in advance
Sometimes a broker may have shares to short early in the morning, but after the 9:30am market bell rings and when day traders want to take a short, there's suddenly no inventory left.
With TradeZero you can reserve your shares from as early as 4am EST and they're yours.
Sell back your locates when you're done
TradeZero's unique locate ecosystem allows clients to have the additional benefit of being able to sell back short locates that are no longer needed. This patent pending innovation will help to recoup some of the initial locate costs when you're finished trading for the day or if you decided not to use the locates.
Once you locate the shares for credit, the shares are available on a first come first serve basis to other TradeZero clients looking for locates on the same security. You can recoup up to 50% of your initial locate cost when another TradeZero client purchases your locates marked for credit.*
* Marking your locates for credit does not guarantee payment. You will only be paid for your locates if another TradeZero client purchases them. Prices paid for locates vary by security.
Our customer service is online 24/7 and during business hours we work to be readily available to take your call to avoid the experience of long hold times.
Easy To Use
For PDT Accounts
Credit Back Locates
Small Cap Locates
24/7 VIP Live
In a few simple steps, you can start the process of opening an account with us today.
*TradeZero America, Inc. ("TZA"), a subsidiary of TradeZero Holding Corp., is a United States broker dealer, registered with the SEC and member of FINRA and SIPC, that offers self-directed electronic securities trading to its customers. TZA does not provide financial or trading advice and does not make investment recommendations to its customers. This communication does not constitute an offer to sell or a solicitation to buy any security or instrument which it may reference. There is a risk of loss in online trading of securities including equities and options. Trading on margin is for experienced investors only as the amount you may lose can be greater than your initial investment. Likewise, short selling as a securities trading strategy is extremely risky and can lead to potentially unlimited losses. If you have any specific questions, please reach out to TZA directly at firstname.lastname@example.org.