Re:Tesla Enters “Whistleblower Hell”
by ghaff on Monday July 22, 2019 @02:29AM
(#20495748)
Essentially every stock sale (barring a need for immediate cash for another purpose) is a bet that stock isn’t going to perform as well as alternative investments over time. So, yes, pretty much anyone who trades in stock is betting on companies to, if not fail, underperform the market over time.
[ Parent
| on HN ]
Re:Tesla Enters “Whistleblower Hell”
by Phenomenit on Monday July 22, 2019 @02:38AM
(#20495774)
that's not the same thing, betting one thing will perform better relative another is not the same as profiting from the failures of a single company.
But it doesn't matter what I write if ones only motivation is profit.
People who are short selling are expressing the thesis that the probablity adjusted return from a bet on drop in stock price of one company is worth more than investing in alternatives like an index fund etc. It's exactly equivalent in a market set-up and is balanced by someone else taking the other side of the deal.