NOTE 12 – SECURITIES SOLD, NOT YET PURCHASED – AT FAIR VALUE

As of June 30, 2021, and March 31, 2021, the Company’s securities sold, not yet purchased at fair value was $14,753 and $8,592, respectively.

During the three months ended June 30, 2021, the Company sold shares that were not owned by it in the amount of $5,878 and closed short positions in the amount of $23. During the three months ended June 30, 2021, the Company recognized a loss on the change in the fair value of financial liabilities in the amount of $306 in the Condensed Consolidated Statements of Operations and Statements of Other Comprehensive Income.

A short sale involves the sale of a security that is not owned in the expectation of purchasing the same security (or a security exchangeable) at a later date at a lower price. A short sale involves the risk of a theoretically unlimited increase in the market price of the security that would result in a theoretically unlimited loss.