Hard-to-Borrow
Definition
Stocks where shares for short-selling are scarce, driving up borrow fees and increasing recall risk. Often coincides with a building short squeeze setup. On the ASX, hard-to-borrow status is broker-defined and not publicly listed.
Related Terms
Borrow Fee
The annualised cost of borrowing shares to maintain a short position, expressed as a percentage of the position's market value. Highly-shorted or low-float ASX stocks can carry borrow fees of 20-50% or more.
Short Squeeze
A rapid increase in a stock's price caused by short sellers rushing to cover their positions. When many shorts try to buy shares simultaneously, it can drive the price up dramatically, forcing more shorts to cover.
Utilisation
The percentage of a stock's lendable float currently out on loan. High utilisation (>90%) indicates supply scarcity and rising borrow fees — a classic precursor to short-squeeze conditions.
See short selling in action
Explore real-time ASIC short position data for ASX stocks.