While hedge fund managers and professional traders are the prominent players in the short-selling arena, any investor with a margin account can go short on a stock with the best online brokerages.
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What Is Buying On Margin?
Margin accounts allow you to borrow mooney from the brokerage to invest. This could both be a profitable, but does come with plenty of risk. Learn more.
As the price of the shorted asset climbs, the broker will also increase the value of the margin the trader holds. For experienced investors, choosing between a short sale and puts to execute a ...
Margin Calls: Utilizing leverage in short positions increases the risk of margin calls, where traders must deposit additional funds to maintain their position or face liquidation, potentially leading ...