@carnage4life
#Stocks #StockTrading

#ShortSelling is very risky & most people get burned doing it, unless they've properly covered themselves on the upside.

I assume this guy is smart enough to do that. 🤷‍♂️

@StarkRG the counterexample to that would be a #Cooperative where the mandate is not to maximize short-term profits, but the interests of shareholders in a sustainable fashion and where there's only 1 voting share per shareholder regardless if they only have the bare minimum in investment or millions parked in it.

• Aiming to democratize the ownership instead of letting few rich shareholders decide over the masses of members in a cooperative.

Otherwise both pay dividends based off success, have shareholder meetings and have to release their financials as well as being independently audited.

• It's just that #cooperatives unlike #PublicCompanies have to put long-term sustainability and their members' interests before the biggest shareholders' demand.for.short-term gains.

Plus cooperatives unlike stock companies can't be really shorted as they have sometimes slow and long timeframes for divestments with up to 3 years of pre-announcement period between maning the decision to divest and being actually paid out. Similarly membership and thus beibg a shareholder can be restricted.

• This is a deliberate deterrent against #shorting aka. #shortselling and other external attacks aimed to spread #FUD.

#NotFinancialAdvice