The Anatomy of Shorting
WHAT IS SHORTING
Each week ASIC publishes a list of stocks that have been “Sold short”. In basic terms it means stocks that have been sold by people who don’t own them.
It is not that easy to genuinely short a stock. You can do something similar through CFD accounts, but I wouldn’t deal with them, and nor would the big players, the hedge funds and the institutions.
Only some brokers offer the facility to set up a shorting account, because it is generally a time consuming, more risky activity for the same commission and the retail...Continue Reading