Im a bit dim viewed on shorting and to be quite honest alot of the market nowdays seems hell bent on making up new things to distort it from my old fashioned view that it was created to raise capital for bussiness to expand from and create a return for those who invested in those establishments.The risk taking nowdays could very well be offset with the new instruments but they do also add to risk if your not on the market all day.
Got to be in it if the market is making you money i guess on a short term frame .But i would think alot of the property that the banks are exposed to would be de risking with debt levels ? Enough people short something it could create the wrong market for longer term investment maybe .ie babcock and brown.The shorters got the chance the investors never.The investors created something only to be bought down by a market mechanism created to do what?