2007-03-28 04:33:00 · 6 answers · asked by victorcirques 1 in Business & Finance ➔ Investing
Who said institutions aren't allowed to short-sell now? The only institutions that are averse to short-sellig are mutual funds, and not because of regulation, but out of habit (restrictions on short sales by mutual funds are entirely self-imposed).
2007-03-28 04:51:13 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Having a large amount of liquidity on both the buy and sell side would better ensure that the price at any given moment is "fair", since these parties are in a constant battle to take advantage of any mis-pricing. Therefore the small investor doesn't have to worry so much about timing the purchase. (In theory).
2007-03-28 04:42:28 · answer #2 · answered by KRC 2 · 0⤊ 0⤋
as a small investor, if you own shares of the companies, that the institutions start to short, your stock value will drop. Short selling , is in effect, putting more shares on the market, depressing price, in a supply/demand situation.
2007-03-28 04:44:19 · answer #3 · answered by bob shark 7 · 0⤊ 1⤋
You may go through the following articles:
1. http://livenewss.blogspot.com/2007/03/going-long-on-short.html
2. http://feeds.feedburner.com/~r/LiveStockMarketAndBusinessNews/~3/103495656/india-may-allow-large-investors-to.html
2007-03-29 04:57:46 · answer #4 · answered by Livenewss 1 · 0⤊ 0⤋
This is not an issue. The problem lies in your understanding, or lack thereof, in how the markets work.
2007-03-28 04:39:05 · answer #5 · answered by Anonymous · 0⤊ 0⤋
It is not problem
2007-03-28 04:37:18 · answer #6 · answered by siva k 2 · 0⤊ 0⤋