Short but sweet

On the face of it, the past 10 months have been hard for short sellers. The end of the bull market increased the popularity and the criticism of shorting, to the point where the UK regulator, the Financial Services Authority (FSA), now plans to convene a roundtable to discuss the impact shorting has been having on the UK market.

Commentators have been vocal in their defence of shorting, pointing to the increased liquidity it can offer and its role in softening the effect of major market swings

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