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I don't think there are short selling ETFs, or how that would even work.
by candiddevmike 4y ago
I don't think there are short selling ETFs, or how that would even work.
- kqr 4y agoThere are. I would assume they simply hedge with real shorts.
- dragontamer 4y agoI'm not aware of any "simply short" ETF. It kind of doesn't make sense. Lets say you've got the underlying asset at $100, what price should the "short" asset be? $100? Well, what happens when the underlying goes to $200, or $300, or $400? The short can't just go to $0, -$100, -$200, -$300. Negative-priced ETFs just don't work (no one will pay up!!) Instead, "short ETFs" are composed of futures and/or options that move "as if" they were short against the stock. In cases of a rising bull market, the short position is "regularly wiped out" (hits $0), and the assets can rebalance to the new value of the underlying.
- dragontamer 4y agoSARK is the fun one this year. https://finance.yahoo.com/quote/SARK?p=SARK&.tsrc=fin-srch https://finance.yahoo.com/quote/SARK?p=SARK&.tsrc=fin-srch SARK is short-ARKK, designed to move equally-and-opposite to Cathie Wood's ARKK etf. ------ There's also SQQQ (Short Nasdaq ETF).
- elteto 4y agoYou can buy negatively leveraged ETFs.