For the first time, TradeZero clients will now have the additional benefit and advantage 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 cost in the following scenarios and more:
During the trading day, if you have locates you no longer want or need, you can mark all or a portion of your locate shares for credit by pressing the 'Credit' button next to each located symbol's quantity. By marking your locate shares for credit you will make the locate shares available on a first come first serve basis to other TradeZero clients looking for locates in the same security. You can recoup up to 50% of your initial locate cost when another TradeZero client purchases your locates marked for credit.*
Any locates that you mark for credit are automatically and instantly placed in a locked state, preventing you from initiating a new short position with those locates.
All TradeZero account holders that are approved for margin trading have access to the new stock locator service.
* 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.