释义 |
short sale
short salen.1. The sale of a borrowed security in anticipation of making a profit by repurchasing it after its price has fallen.2. An investment in an exchange-traded fund or derivative security whose performance is inversely related to that of a particular index.3. The sale of a property for less than the amount owed on it, with the lender consenting to accept the lesser amount and cancel the debt in lieu of instituting foreclosure proceedings.ThesaurusNoun | 1. | short sale - sale of securities or commodity futures not owned by the seller (who hopes to buy them back later at a lower price)short sellingtrading - buying or selling securities or commodities |
Short Sale
Short SaleA method of gaining profit from an anticipated decline in the price of a stock. An individual who sells short sells either stock or Securities that he or she does not own and that are not immediately ready for delivery. Generally the seller borrows the shares needed to cover the sale from a Broker and then delivers these shares to the buyer. The seller deposits an amount that is equal to the value of the borrowed shares with the broker. This amount stays on deposit with the broker until the stock is returned. The seller must ultimately return the same number of shares of the same stock to the broker, and the transaction is not fully executed until the stock is returned. The broker lending the stock is entitled to all the benefits he or she would have received if the stock had not been lent. When a dividend is paid, then the seller-borrower is required to pay the broker-lender an amount equal to the dividend. Short Sale
Short saleSelling a security that the seller does not own but is committed to repurchasing eventually. It is used to capitalize on an expected decline in the security's price.Short SaleThe sale of borrowed securities. In a short sale, one borrows securities, usually from a brokerage, and sells them. One then buys the same securities in order to repay the brokerage. Selling short is practiced if one believes that the price of a security will soon fall. That is, one expects to sell the borrowed securities at a higher price than the price at which one will buy in order to return the securities. Selling short is one of the most common practices of hedge funds. This is also called establishing a bear position. See also: Margin account.short sale The sale of a security that must be borrowed to make delivery. Short sales usually, but not always, entail the sale of securities that are not owned by the seller in anticipation of profiting from a decline in the price of the securities. A short sale is not permitted when the last preceding different price was higher than the current price. Also called selling short, short. See also fictitious credit, ghost stock, lending at a premium, lending at a rate, odd-lot short sales, Rule 10a-1, short against the box, short cover, synthetic short sale.short saleIn real estate,the lender's agreement to release its lien upon property so that the property can be sold, even though the sale price will not generate enough money to pay off the loan. Investors who specialize in purchasing preforeclosure properties will often negotiate a short sale price with the lender as part of their strategy.Oftentimes,the lender will agree to forgive the balance of the mortgage debt. Short SaleAn agreement between a mortgage borrower in distress and the lender that allows the borrower to sell the house and remit the proceeds to the lender. Ashort sale is an alternative to foreclosure or a deed in lieu of foreclosure. See Payment Problems/Position of the Lender/Permanent Problem. Short SaleA sale in which the seller borrows the stock certificates or other property delivered to the buyer. At a later date, the seller either purchases similar stock or property necessary to "cover" the sale, and delivers it to the lender or delivers to the lender stock or property that he or she already held but did not wish to transfer at an earlier date. For income tax purposes, there is no gain or loss on the transaction until the short sale is covered by purchase and transfer. Special rules apply in determining whether the gain or loss on a short sale is a long-term or short-term capital gain or loss.short sale
Synonyms for short salenoun sale of securities or commodity futures not owned by the seller (who hopes to buy them back later at a lower price)SynonymsRelated Words |