share borrowers are back again, page-5

Shorting and holding makes no sense. No gain on SP change. and the fees are large. An option straddle let you cover both sides. But in the middle, you lose big time.

What do you consider small borrowing cost. In US you pay over 20% PA for the borrowed shares. Plus fees which add up if you short for short periods.
Next if Shorts go negative you have to post cash to cover delta or borrow the money to cover the difference again at 20 %. If rules are same, for US and AU, the shares are Callable so if price starts to drop they may be called.

There are probably differences between US and AU I would find information interesting. In AU institutions like State ST. buy shares to loan them happy to make their 20% plus fees. In US shares are loaned by other investors loaning shares they own. (The y have no idea this is happening and receive nothing. The shares just have to be in margin account for broker to do it.) So if they want to sell or have to sell because of margin Call you have to give shares back. I learned all this in a big short I did in 2020 and have only done PUT Options since.to trade the down side.

You make less money doing puts than shorting for the same drop. You have much less money tied up you know What your loses might be clearly

In US the broker sets the terms not the SEC. So interest and fees vary between brokers. Most brokers you have 24 hrs to buy to cover the shorts or the broker buys to cover for you. Terms vary between brokers.