Short-selling Stock Legal
Are there specific laws in your country to stop Short-selling Stock or is it legal?
Yes it is. I have seen a few more regulations though. In a free market it is legal. I have noticed that the media is trying to blame short sellers for our financial woes.
It isn't the short sellers that cause this. If it does then it is on a small scale. Very small.
Rather off topic, but... I am going fishing with a bud of mine that is in the investment business. I will ask him what he thinks about this if I remember. I think I am right. It may become illegal. Hmmmm that is a good question that has spurred other questions. I would rather just catch a fish, so I might forget to ask. |
Rather off topic, but... That is so Ironic. I have just posted on what he was talking about on another thread that I just saw, and got his message from my email to youtube. That is weird and I was right. I am turning into an instinctive economist. Yes, I did just toot my own horn. |
The UK is currently putting legislation in place to stop this practice, I do not know if it is legal or not in my own country as I'm not much into local stocks.
International Level: International Guru / Political Participation: 3231 100%
I can only really see it shaking confidence in the economy rather than actually driving it. I see institutional buying and programmed sales shaking things up periodically moreso than this does. However, there is something that feels a bit dirty about profiting off of misfortune. It also makes you more suspicious of insider information than if you were in on a long position. I would be really interested in looking into the trades of the execs of these companies that are tanking to see if they or a layer below them played the short game to minimize personal losses.
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