Comment by twister2920
4 hours ago
> There is a reason this man doesn't heavily short the same companies he criticizes
yes, because in order to take a short position you have to predict exactly when the bubble is going to pop, which is different from predicting that at some point it will
Not quite. You could buy a long-dated put if implied vol and current rates are amenable. This protects you against the underlying going up significantly. You might also predict that it won’t go up too much, and just short the underlying with a stop loss.
> You could buy a long-dated put
What leveraged? yeahnah thats not going to be profitable.
> you have to predict exactly when the bubble is going to pop
Not true.
please elaborate, I love learning new things