Hi everyone. (It's been years since I have posted, though the advice on this forum has made that possible, since I have been just fine financially. I am grateful.)
I recently got an email from my broker, Schwab, offering me a high interest rate if I would agree to loan Schwab commodity-related securities from one of my accounts. The loan would be secured by a trust company holding 102% of the cash value of my loan, adjusted daily. I am aware that my securities, if loaned, will be used to short the commodity in question. I have also researched the risks on Schwab's site and otherwise sniffed around.
Regardless of the above, has anyone else used the Schwab SLFP program? Any thoughts on whether it's worth participating in?
I recently got an email from my broker, Schwab, offering me a high interest rate if I would agree to loan Schwab commodity-related securities from one of my accounts. The loan would be secured by a trust company holding 102% of the cash value of my loan, adjusted daily. I am aware that my securities, if loaned, will be used to short the commodity in question. I have also researched the risks on Schwab's site and otherwise sniffed around.
Regardless of the above, has anyone else used the Schwab SLFP program? Any thoughts on whether it's worth participating in?