Ahhhhh, but therein lies their conundrum. They, on paper though not in practice, are not naked, rather the houses that allowed the trades invented the stock out of whole cloth and are charging them sky high interest. All of this done on a wink and a nod. Wall Street is crooks to the left and thieves to the right with fraudsters in the back and liars up front.
How did pledging collateral multiple times work out for Clarence Hatry?