35% year doesn't sound so bad until you realize that a lot of shorts are heavily leveraged--they borrowed money to have the "capital" to make a bigger trade tha

35% year doesn't sound so bad until you realize that a lot of shorts are heavily leveraged--they borrowed money to have the "capital" to make a bigger trade than they could really afford. This would multiply their earnings if it works out, but it also multiplies their losses and the interest they pay. I assure you if a hedge fund could just wait out the crowd they would do that rather than take a billion dollar loss, but if they are leveraged it requires their lender's cooperation.