GO
Loading...

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, 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




Contact CNBC Explains

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    › Learn More*

Latest Special Reports

  • File photo: Participants at a hacking conference in Germany

    A series of high profile cyber attacks has created huge economic opportunity as businesses look to fend off future attacks.

  • Whether you're young and just getting started investing or moving closer to retirement, factoring in age will keep you ahead of the game.

  • Advisor-centric content with guest columns covering practice management, investment strategies and marketing/social media.

Central Banking Explained

Corporate Accounting Explained