How to Sell "Short" Without Losing Your Head

Written By: Tom Hankes  |  Posted: Tuesday, March 15th, 2011

          As the market transitions from an incredible 24 month secular bear market rally that has stunned top professionals with its durability, many experienced investors will start thinking about ways to profit in the inevitable downturn. 

          Different ways to profit from a downturn include: trading in the futures market, buying "put" options, and using inverse exchange traded funds (like SDS which I've written about before and is in my sample portfolio) and selling short individual securities, usually stocks.  Selling short bonds is not recommended (maybe in another article).

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