I find it a bit hypocritical when companies who are invloved in...

  1. 11,223 Posts.
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    I find it a bit hypocritical when companies who are invloved in funds management, derivatives, and various newly created financial instruments used to increase returns or reduce risk, come out complaining about short selling.

    Yes short selling can cause a compaines shares to fall faster and further than they otherwise may have. But there still has to be some fundammentally wrong with the companies share price for it to fall in the first place.

    If there wasn't the shorters would not be able to seel the sahres down very far without buyers coming in and soaking up the selling.




 
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