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Investments glossary

Rebate


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Quotes of the day:

Drugs are not always necessary, but belief in recovery always is.

— Norman Cousins

A rebate is the portion of interest or dividends earned by the owner (lender) of a stock that is paid by a short seller (borrower) of the stock. The borrower is required to pay interest and dividends to the owner. Short selling requires a margin account.


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