Short Position (Investments & Retirement) - Definition, Examples, Advice | Bolder Money

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Product 1:1 Coaching Our Coaches Our Story

Product 1:1 Coaching Our Coaches Our Story

Definition

An investment strategy where you bet that a security’s price will decline, profiting from a drop in value.

What to consider

Know that it can impact your credit score less than foreclosure.
Prepare for a longer closing process.
Understand the financial hardship criteria involved.

Real world scenarios

Betting on a market decline, Marcus took a short position in a tech stock, planning to profit if its price dropped.

Related terms

Investments & Retirement

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