3min chapter

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How does short selling work?

Capitalmind Podcast

CHAPTER

Why You Should Go Short

Many times people have done this to Tesla. One analyst printed a negative about a certain company in India and he got a restaurant taken to Gurgaon because he didn't shot the stock. The hedge fund that employed him was in Canada. That company had shot to the stock through the, you know, FII route or something. But what happened after that was Tesla's stock went up 10x. So they were eventually right when it fell from 10x to only 5x. It doesn't matter if you're short at 1x, that means you've lost 500% of your money rather than 1000%.

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