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To: The Other Analyst who wrote ()	7/11/1999 12:07:00 PM
From: The Other Analyst	Read Replies (1) of 214

Again from Quicken's glossary, we are informed of the meaning of shorting stocks. Shorting stocks A method of gambling on a stock whose price you think will decline. Instead of purchasing shares of a stock you think is going up in price, you instead borrow shares, sell them immediately, wait for the price to go down, and then buy them at the lower price and return the shares to the broker. The advantage of shorting stocks is that you can make a profit without an initial cash investment. Shorting stocks is considered riskier than buying stocks because the price of the stock could rise, resulting in unlimited losses. Because shorting stocks involves an unlimited risk, the SEC has special regulations requiring brokers to issue a margin call when an investor's losses reach a certain amount. ============================ No initial cash investment? What do you call the money you put in the margin account? Gambling? And longs aren't?

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