Short Selling

Short selling involves borrowing a security and selling it on the open market with the expectation that its price will fall. The seller then plans to buy back the security at a lower price, return the borrowed shares, and pocket the difference as profit. It's essentially betting against the stock and company, where the short seller only makes money if the stock price decreases. However, if the price rises, the potential losses are infinite, making short selling a high-risk strategy as you MUST repurchase a share to deliver to the initial borrower.