short seller
an investor betting a share price will fall
In more detail
1. (noun) a person or company that borrows stocks or other assets and sells them, hoping to buy them back later at a lower price and make a profit
2. (noun) someone who bets that the price of something will fall
Examples
- 1. The short seller profited when the company's stock price dropped after the scandal.
- 2. Short sellers often take risks because they must eventually return the borrowed shares.
How to use short seller
Short seller is primarily a financial term used in stock market and investment contexts to describe traders who take bearish positions. It is more specific and formal than the casual term 'bear,' and typically implies an active strategy rather than mere pessimism. The term is used neutrally in financial reporting but can carry negative connotations in popular discourse, as short sellers are sometimes blamed for stock price declines.
Common phrases
- short seller activity
- aggressive short seller
- short seller pressure
- short sellers betting against
- short seller positions
Synonyms
bear · short · speculator
Opposites
long buyer · bull
Word family
short selling (noun) · short sell (verb) · shorting (gerund) · short (adjective/verb)
A common mistake
Learners often confuse 'short seller' with someone who simply sells something quickly or hastily; it is a technical finance term specific to borrowing and selling with the intent to repurchase at lower prices.
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