The current short-selling method in the A-share market:
1. Options
Options are a kind of right. However, the exercise of this right can be exercised or not exercised by the investor at a certain time in the future based on its value. Since investors inevitably have different opinions, some are bullish and some are bearish, so options can be formally divided into call options (call) and put options (put).
Use an analogy to illustrate these two options. Assume that the current price of an egg is 5 yuan. There are two situations:
(2) If investor A believes that the egg will be worth at most 4 yuan in one month, and investor B who holds the egg thinks that the egg will be worth When the price is more than 5 yuan, for example 5.5 yuan, B also wants to continue to collect eggs to make a profit. So the two men started to make an appointment again: A said, I will sell eggs to you at a price of 4 yuan in one month, and you must buy them. B said, OK. A also paid a deposit of 0.5 yuan to B. For A, it means buying a put option. Put means bearish.
(1) If investor A believes that eggs will rise in one month, their value is 6 yuan, while investor B who holds eggs thinks that they are not worth so much money. So the two of them agreed that A would pay B a deposit of 0.5 yuan, and in the future he would have the right to buy the eggs held by B at a price of 5 yuan each. In this way, both of them have entered into a call option on an egg.
However, the main thing that can be used to make profits from short selling is to buy put options, which is the case (2) above. Assume that the reality is really ugly, and the eggs really fall after a month, and they are only 4 yuan. A can still sell eggs to B at a price of 4.5 yuan, and B must buy them.
However, there are currently not many options launched by A-shares. There are only SSE A50 ETF options, and individual stock options are still in the testing stage.
Intimate tips: To open an options account, investors need 500,000 yuan in capital, and they also need margin financing and securities lending qualifications. At the same time, they also need to pass the Shanghai Stock Exchange exam. This exam is not meant to fool people. It can only be opened by recording the video on site and uploading it to the Shanghai Stock Exchange.
In addition, options trading can be roughly divided into three levels, and options trading participants at different levels have different permissions. If you want to put options, investors need to pass the Level 3 test.
Finally, a reminder of the risks. The risk of selling put options is very high. Investors should pay special attention to the risk of rising stock prices when investing in short put options.
2. Securities lending
For example, China South Locomotive or China CNR some time ago. Because the stock price is astonishingly high, it has deviated far from value. Investors think the stock price will fall. At this time, investors can borrow CSR from your brokerage firm at the current stock price of 39 yuan and sell it. Assuming 10,000 shares, you will have 390,000 yuan more cash on hand.
The so-called securities lending means borrowing securities. Borrow from whom? The brokerage firm where the investor opens an account. Can I directly sell naked? Current policy does not allow this. How to do it? For the sake of simplicity, transaction fees and other expenses are not considered. Okay, here, all the results are clear. In two days, you paid off the 10,000 shares of CSR that you owed to the brokerage. Then, you earned 70,000 yuan. How high is the absolute rate of return? 17.94%!
The next trend is like you are the director, the stock price fell sharply in the next two consecutive trading days. At this time, if you think the stock price has dropped to a relatively reasonable level. You can buy back 10,000 shares of CSR. If the price when you buy back CSR is 32 yuan, it will cost you a total of 320,000 yuan.
If you want to do securities lending, the required condition is an asset of 500,000 yuan. Larger securities firms have this qualification.
Intimate tips: Before opening an account, ask your brokerage appropriately: How many securities lending targets are there currently, and what are the appropriate investment strategies. In addition, investors should pay special attention to the investment risks of securities lending. If the stocks you invested do not fall as you expected, but rise sharply, your losses will be very heavy!
3. Stock index futures
Futures are not "goods", but contracts linked to a specific subject matter that can be traded. The stock index futures mentioned here are contracts linked to stock indexes.
One feature of stock index futures is that they can be traded with leverage, which can amplify profits when investors make correct trading behaviors. Considering that the margin ratio generally required by futures companies is 15%, this means that the leverage ratio is close to 7 times.
The biggest feature of stock index futures is that they can be traded on T+0, and there is no limit on the number of times on the same day. Assuming that investors believe that the stock market will fall that day, they can make profits in the falling market by selling stock index futures contracts (a bit like the securities lending mentioned above).
Currently, there are three types of futures trading launched by China Financial Futures Exchange, namely CSI 300 stock index futures, SSE 50 stock index futures and CSI 500 stock index futures.
Tips: Stock index futures have high requirements for investors, and they have strong requirements for collecting and judging all kinds of information. Improper operation can easily lead to loss of money, even for investors who have no experience in this operation. It is recommended to be cautious!