Shorting Aussie Stocks - Does anyone do it?

[Cassandra]

My interest lies mainly in mid/smallcap stocks.

If you have done this in the past, please share.

What are the requirements? Are there mountains of paperwork to fill in before you can proceed?

Thank you in advance.

 

[twodogs]

buy puts, sell calls, open a cfd position. These are all shorting, just not the short you are probably thinking of. Easy to do, just as effective, just as dangerous, just as easy to loose your dough if you have no plan, or dont follow a plan you have.

 

[Cassandra]

buy puts, sell calls, open a cfd position. These are all shorting, just not the short you are probably thinking of. Easy to do, just as effective, just as dangerous, just as easy to loose your dough if you have no plan, or dont follow a plan you have.

Thanks for replying.

The problem is many small penny dreadfuls - the sort of junk that is destined to belong in the rubbish bin - do not have CFDs

 

[Macca]

Most shorting is for larger stocks, the stocks are actually borrowed (for a fee) from instos by the brokers.

CFDs would be the most common way after that and the brokers have no intention of losing money to you so they minimise their risk by limiting the range of stocks.

You could ask this question on http://www.aussiestockforums.com

 

[redwing]

Aaron has a thread of CFD's here