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> Ultimately, a few medium-sized hedge funds were caught doing something stupid Shorting a company that sells a physical product in malls during a pandemic is
by ketamine__ 6y ago
> Ultimately, a few medium-sized hedge funds were caught doing something stupid
Shorting a company that sells a physical product in malls during a pandemic is stupid? It seems their intuition is correct but there was a black swan event.
- mattkrause 6y agoLike everything, it’s a matter of degree. Would I start a company to sell physical video games, in malls, in a pandemic? Hell no. Would I short it to the extent that it the shares become ‘rare’ enough to induce a lot of demand? Also, hell no. Both extremes are....not clever.
- mcguire 6y agoShorting a company to the extent that you have enough leverage to go bankrupt? Not the brightest move. Shorting it so that you may not be physically able to satisfy the sales? That's window-licking territory.