Mission

This blog will be used to document my current research project. I am investigating heavily shorted stocks for interesting trends.

Two things have led me to focus on heavily shorted stocks:
1. It is widely understood that short sellers are sophisticated investors and that these stocks underperform on average. However, people often bet against short sellers and money can change hands very quickly. This is fascinating to me.
2. Short sales are unpopular and the practice is open to abuse. I have an interest in making sure that short selling remains a useful tool. The best way to do this, in my opinion, is to prove that it is absolutely possible to monitor short selling for abusive practices.