Short Selling

  • (noun): Sale of securities or commodity futures not owned by the seller (who hopes to buy them back later at a lower price).
    Synonyms: short sale

Some articles on short selling, short, selling:

Short Sales - Views of Short Selling
... This section requires expansion Advocates of short selling argue that the practice is an essential part of the price discovery mechanism ... Financial researchers at Duke University said in a study that short interest is an indicator of poor future stock performance (the self-fulfilling aspect) and ... Such noted investors as Seth Klarman and Warren Buffett have said that short sellers help the market ...
Christopher Cox - U.S. Securities and Exchange Commission Chairman - Response To The Beginning of The 2008 U.S. Recession
17 and 18, 2008, imposed a variety of both permanent and emergency restrictions on short selling in response to the liquidity crisis ... Abusive naked short selling, in which the seller intentionally fails to deliver the shares sold short in time for settlement, was banned outright, an exception for options market makers that had ... In September 2008, short selling of 799 financial stocks was temporarily curtailed in response to rumors accompanied by heightened short selling activity in the shares of major ...
Short Sales - Risks
... Short selling is sometimes referred to as a "negative income investment strategy" because there is no potential for dividend income or interest income ... be sold pursuant to the contract, and one's return is therefore limited to short term capital gains, which are taxed as ordinary income ... For this reason, buying shares (called "going long") has a very different risk profile from selling short ...
Greenlight Capital
... Greenlight is most notable for its short selling of Lehman stock prior to Lehman Brothers' collapse in 2008 ... days by identifying weak financial firms for short selling, making significant gains from Conseco, CompuCredit, Sirrom Capital, and Resource America ... A few months before the dot-com bust, Greenlight lost 4% of its total capital on a short on Chemdex stock as it soared in price ...
Subprime Mortgage Crisis Solutions Debate - Regulation - Short-selling Restrictions - Arguments Against Restricting Short-selling
... those who are betting the stock will go up) or "short" (i.e ... Short selling is only harmful if it reduces the price of the investment below what its value should be ... However, if that occurs, then the short seller would suffer a loss since the price would tend to go back up to its appropriate value and too many such losses would put him out of business ...

Famous quotes containing the words selling and/or short:

    The only person really soiled with trade
    I ever stumbled on in old New Hampshire
    Was someone who had just come back ashamed
    From selling things in California.
    Robert Frost (1874–1963)

    In a virtuous and free state, no rewards can be so pleasing to sensible minds, as those which include the approbation of our fellow citizens. My great pain is, lest my poor endeavours should fall short of the kind expectations of my country.
    Thomas Jefferson (1743–1826)