Now that financial stocks are "unshortable" directly until October, below are some ways you can do so through derivatives:
1) Buying Deep In-The-Money Puts: the deeper ITM, the less time value it'll carry and behave like the underlying stock.
2) A synthetic short with options: long Put and short Call at the same strike price
3) Short single stock futures: though I hear the liquidity isn't all that great
4) Inverse ETFs (Exchange Traded Funds)
5) Shorting Index Futures: almost as good, as the financial companies are positively correlated to the stock indexes.
I'll add to this list as I think of more!
4 months ago
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