short-selling
Profiting from decline
Short-selling is a trading strategy where an investor borrows shares, sells them, and hopes to buy them back later at a lower price—profiting from the decline.
If the price rises instead, losses can be unlimited.
Short-sellers are sometimes blamed for driving down stock prices, though defenders argue they expose overvalued companies and fraud.
Also called shorting: They made millions shorting the housing market.
Expecting market decline
- pessimismExpecting unfavorable outcomes
- skepticismDisposition toward doubt
- negativityDisposition toward pessimism
- distrustAbsence of confidence
fear · caution · cynicism · doubt · downside · overvalued · fraud
Boundary of planted shrubs
- speculationUnproven theorizing or risky investment
- contrarianChronic majority-opposer
- alphaFirst Greek letter
- arbitrageExploiting price discrepancies
puts · positioning · catalyst · thesis · conviction · research
To distribute widely
- gainsIncreases in value
- returnsProfits from investments
- realizedBecame aware of
- unrealizedNot made actual
profitable · windfall · payoff
Temporary taking of another's
- sharesUnits of company ownership
- lendingTemporary provision of resources
- coveringLayer that shields or hides
- settlementResolved dispute or colony
locate · rebate · recall · delivery · shorting · utilization
Agreement to participate
- volatilityRapid, unpredictable changeability
- exposureState of being unprotected
- counterpartyOther side in deals
- lossesThings subtracted from standing
Act of revealing information
- restrictedLimited in scope
- bannedOfficially disallowed
- complianceAdhering to requirements
- penaltiesPunishments for infractions
bearish
Expecting market decline
- pessimismExpecting unfavorable outcomes
- skepticismDisposition toward doubt
- negativityDisposition toward pessimism
distrust · fear · caution · cynicism · doubt · downside · overvalued · fraud
hedge
Boundary of planted shrubs
- speculationUnproven theorizing or risky investment
- contrarianChronic majority-opposer
- alphaFirst Greek letter
arbitrage · puts · positioning · catalyst · thesis · conviction · research
spread
To distribute widely
unrealized · profitable · windfall · payoff
borrowing
Temporary taking of another's
- sharesUnits of company ownership
- lendingTemporary provision of resources
- coveringLayer that shields or hides
settlement · locate · rebate · recall · delivery · shorting · utilization
buy-in
Agreement to participate
- volatilityRapid, unpredictable changeability
- exposureState of being unprotected
- counterpartyOther side in deals
losses · overextension · halt · suspension
disclosure
Act of revealing information
- restrictedLimited in scope
- bannedOfficially disallowed
- complianceAdhering to requirements
short-sellinggoing long
Running a deep route
long position · buying · holding · covering · accumulating
short, sell, selling, shorts, shorter, shortest, shorten, shortened, shortening