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Bill, Enrolled Agent
Category: Tax
Satisfied Customers: 3153
Experience:  EA, CEBS - 35 years experience providing financial advice
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Say you have 20 million dollars. If a thinly traded ...

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Say you have 20 million dollars. If a thinly traded security (under 200,000 shares/day) that is trading at $20 trades options, is it legal to, for example, buy 10 million dollars worth of $20 calls, and simultaneously buy 10 million dollars worth of stock, effectively driving the price of it up, and giving you HUGE returns on your options trades? (and then of course selling the security)
Submitted: 9 years ago.
Category: Tax
Expert:  Bill replied 9 years ago.
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