Short selling is a way of operating financial assets. Short selling is to borrow the underlying assets first, sell them to get cash, and after a period of time, spend cash to buy the underlying assets and then return them. Short selling is a common operation mode in stock futures market. The operation is to expect the stock futures market to have a downward trend. The operator will sell the chips in his hand at the market price, and then buy them after the stock futures fall to earn the intermediate price difference.

If investors want to sell securities short, they need to arrange to borrow securities for settlement. Investors need to deposit enough margin as collateral, pay interest to lenders, and pay dividends to lenders when they receive interest. Lenders who lend shares will lose their voting rights.

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Related contents of shorting:

1. Use the futures market for hedging transactions, so as to reduce the risks caused by price fluctuations and ensure the normal profits of production and operation. People who do this kind of hedging have produced operators, traders, real users and so on.

2. Take advantage of the unreasonable price relationship between the stock index futures market and the stock market, as well as between different markets, different varieties and different maturities of stock index futures, and earn spread income by buying and selling at the same time.

3. 1990 10, China Zhengzhou Grain Wholesale Market was approved by the State Council, and the futures trading mechanism was introduced as the first commodity futures market in China.

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