Shorting is once again a popular strategy. But it is also a risky business, particularly if the portfolio manager gets it wrong. Many hedge fund managers would say there is nothing wrong with saying something is going to underperform the market.
Nevertheless, it carries negative connotations. Shorting has been blamed for the Wall Street Crash of 1929 and more recently by Iceland for all its economic woes. Despite this and the fact that some politicians and regulators may be considering