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Remember, you can trade stocks without trading stocks.

What do I mean? Mark Cuban sold a collar on his Yahoo stock through Goldman for $[I forget] billion dollars. That was an off-market trade in which someone bought his entire block off of him. In today’s world, with tons of low interest (as in, single/double-digit basis points) loans and other fun weird contraptions, you have a lot more options to trade without trading.

I have no grand reveal here, but there’s probably an entire “dark dataset” regarding that activity that is missing from this conversation.



Also a lot of shorts exist because if you are long X $1 and short Y $1 your total investment is $0.


This is false, if you're long one security and short another, your total cost basis is the sum of the absolute value.


How is that not apples and oranges. You buy one orange and eat one apple and thus everything is in its original state?




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