GO
Loading...

Stock Shorting: CNBC Explains

CNBC Explains
Friday, 3 Jun 2011 | 10:42 AM ET
Basic Stock Shorting: CNBC Explains
Pessimistic about the future of a company's stock and not sure what to do about it? One strategy employed by many investors is stock shorting. Salman Khan of the Khan Academy explains the basics.

Pessimistic about the future of a company’s stock and not sure what to do about it? One strategy employed by many investors is stock shorting, a tool that allows them to make money when a stock goes down. However, this strategy can be very risky. Salman Khan of the Khan Academy explains the basics.

From this video, you’ll understand:

  • How stock shorting works
  • The risks associated with shorting a stock
  • Payoffs or losses involved with shorting




Featured

Contact CNBC Explains

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    › Learn More

Latest Special Reports

  • The day you stop working will be here before you know it, making preparation now key to enjoying your golden years.

  • Is an active twist on passive investing the right portfolio move? An inside look at the rise of ETF strategists.

  • Simplifying news on the clock.

Central Banking Explained

Corporate Accounting Explained