h a l f b a k e r yOh yeah? Well, eureka too.
add, search, annotate, link, view, overview, recent, by name, random
news, help, about, links, report a problem
browse anonymously,
or get an account
and write.
register,
|
|
|
antishares
Share dealing for predictive pessimists | |
This idea emerges from a deep-seated
ignorance of the stock market, so please
tell me if I'm embarrassing myself by
suggesting something that already
exists.
But...
Share dealing is all about gambling on
the
future rise of the share value of a
company
- buy low, sell high. Why
not establish a
parallel anti-share market, in which you
gamble on the decline in share prices?
You buy 1000 anti-shares in Snibbo Inc.
at £3 per share, and their market value
falls to £2....meaning that their antishare
value has gone up by £1. You then sell
your anti-shares, making a profit of
£1000.
If this idea is a dud, can anyone else
suggest how I can exploit my unwanted
talent for identifying companies which
are
destined to fail spectacularly?
Selling Short
http://en.wikipedia.../wiki/Selling_short
Wikipedia description of selling stocks you don't own. [Laughs Last, Dec 29 2004]
Karma Banque
http://www.karmabanque.com/
Max Keiser's Contrarian Fund: "For all other inquiries, please remain on the line and an operator will be with you shortly... Actually, just drop us a note: stuff@karmabanque.com" [reensure, Jan 03 2005]
Please log in.
If you're not logged in,
you can see what this page
looks like, but you will
not be able to add anything.
Destination URL.
E.g., https://www.coffee.com/
Description (displayed with the short name and URL.)
|
| |
This is perfect up until you equate the loss of money with the gain of money. See, when your anti-share raises in value by one pound, your anti-net-worth raises by one pound. |
|
| |
What you describe sounds like "selling short", see link. |
|
| |
Beat our swords into anti-shares? |
|
| |
This is indeed a variation on selling short - no need for a new security. |
|
| |
While it is easy to spot a company that is going to decline in value, the hard part is predicting when. If you get it wrong, you can lose the shirt off your back. |
|
| |
All you can lose on a regular stock is the money you paid for it. And if it goes up, there is no limit to the amount of money you can make. |
|
| |
On the other hand, all you can make by selling a stock short is the amount of money you sell it for. And if it keeps going up, then there is no limit to the amount of money you can lose. (Well, there is: sooner or later the broker loses patience and repossesses your house.) |
|
| |
So invest with care, however dubious you are about the prospects for Snibbo, Inc. |
|
| |
I took the title litteraly and it is more fun that way.
Buy the antishare if you hate the company (microsoft). The money does not go to the company (microsoft) but to a savingsaccount wich pays divident to antishareholders. Now we can all make money hating microsoft and buy new computers after we demolished the old ones out of frustration. It is a win/win situation. |
|
| |
Zeno - I hugely, colosally, vastly,
overwhelmingly, thesaurially prefer your
interpretation of my ill-fated idea over
my own. |
|
| |
gee thanks basepair, shell, dell, gm, gep.... |
|
| |