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>These guys walk off with a huge bag of cash, a bunch of investors that were trying to invest positively get screwed, the mall dies, and all that money and econ
by scottlocklin 6y ago
>These guys walk off with a huge bag of cash, a bunch of investors that were trying to invest positively get screwed, the mall dies, and all that money and economic opportunity vanishes. The economy objectively gets poorer in that area, and the ramifications are widespread as areas start to become 'food deserts' and so forth.
The investors didn't get screwed; they made a bad investment, and the short sellers didn't have anything to do with the malls failing. It boggles my mind that people look at speculators helping make markets in risk hedging as the vultures. The vultures are swine like Bain who levered up viable companies on debt to "increase shareholder value," looted pensions on bankruptcy and moved manufacturing abroad. Meanwhile McKinsey advising giving pharmacies "rebates" every time someone ODs.... but it's the guys shorting dying shopping malls who are the problem....
- core-questions 6y ago> It boggles my mind that people look at speculators helping make markets in risk hedging as the vultures. If you get rich from someone else's failure, you're a vulture, end of story. I think we ought to ban shorting stocks and a pile of other usurious business practices that have become commonplace. Failure should not be making other people rich.
- scottlocklin 6y agoYou have no idea what you're talking about. The inability to short bad ideas leads to fraudulent horse shit like Theranos or Bernie Madoff. There are entire short-only hedge funds designed to make a profit while leading to more honesty in financial reporting: there needs to be more rather than less of this.