Shorts, where does the money go ? Come from ?

Discussion in 'Trading' started by luisHK, Nov 5, 2010.

  1. luisHK



    I see that if I make the money on a short the broker credits it to my account, and removes it if I lose, but as the title of this thread asks :

    where does the money go ? Come from ? Is a person lending the stocks just betting against the one shorting and assuming the financial consequences ??

    Or ??
  2. Your profit, as a short-position holder, is the "paper loss" that the long-position holder endures. Don't overanalyze it beyond that. :cool: