Analysis Techniques & Strategies

Backwardation Fee (Column)

The Backwardation Fee column can display both Fee Paid and Fee Received.

The Backwardation Fee is associated with borrowing shares when you want to sell short (in other words, selling shares not owned with the intent of buying back at a lower price.) In situations where those shares are hard to borrow, this fee is charged to the person who holds the short position, and credited to the person who holds the long position.