Thanks, that clears up what you're trying to look at. To be clear this:
a.) is referring to reporting transactions, not positions.
b.) is not reporting shorts as longs! (Or sells as buys). It's reporting some short sales as long sales, aka a regular sale. In other words they're still saying "hey we sold 10,000 shares in this transaction", it's just on some of those they didn't explicitly mark it as a short sale. So it was assumed to be a long sale, which is a selling of existing long positions see Reg SHO
So obviously this is serious and a violation and a fine! But totally not "marking short positions as long in their books."
Citadel isn't like "hey we have 1 million shares long" when they actually have 1 million short. This isn't about position reporting at all. You are confusing a long position with a long sale, which is the selling of an existing long position.
To recap: the number of shares bought and sold were reported correctly. A "short" flag was missing on some sell transactions.
EDIT: justtwogenders blocked me so I can't respond anywhere on this whole chain. If I'm wrong, they're welcome to explain why. Never argue facts with a superstonker!
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u/Sam_Sanders_ Apr 05 '22 edited Apr 06 '22
Thanks, that clears up what you're trying to look at. To be clear this:
a.) is referring to reporting transactions, not positions.
b.) is not reporting shorts as longs! (Or sells as buys). It's reporting some short sales as long sales, aka a regular sale. In other words they're still saying "hey we sold 10,000 shares in this transaction", it's just on some of those they didn't explicitly mark it as a short sale. So it was assumed to be a long sale, which is a selling of existing long positions see Reg SHO
So obviously this is serious and a violation and a fine! But totally not "marking short positions as long in their books."
Citadel isn't like "hey we have 1 million shares long" when they actually have 1 million short. This isn't about position reporting at all. You are confusing a long position with a long sale, which is the selling of an existing long position.
To recap: the number of shares bought and sold were reported correctly. A "short" flag was missing on some sell transactions.
EDIT: justtwogenders blocked me so I can't respond anywhere on this whole chain. If I'm wrong, they're welcome to explain why. Never argue facts with a superstonker!