• TotallyHuman@lemmy.ca
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    2 days ago

    You can hold a short position by repeatedly borrowing more stock – but you run the risk of running out of money completely, because short positions have (theoretically) infinite downside risk.

    • mortn@lemmy.world
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      4 hours ago

      Financial risks can, by themselves, never be infinite. They are by nature quite finite. Also, risks are always alluding to a downside. Otherwise they’re called chances.