Buying short isn't the opposite of buying long - it's the reciprocal. Which is an important distinction: if you buy a diversified portfolio of 10 stocks and one

Buying short isn't the opposite of buying long - it's the reciprocal. Which is an important distinction: if you buy a diversified portfolio of 10 stocks and one goes bust, if you bought long you've lost 10%. If you bought short, you're completely broke.