Using Other Financial Instruments to Realize Corporate Fraud Exposure Capital Gains
摘要
This chapter explores various financial instruments that investors can use to profit from the collapse of fraudulent companies. It emphasizes that successful fraud shorting requires not only identifying fraud but also timing the market’s recognition of it. The chapter discusses short selling with call option protection, long put options, bear put spreads, and other option strategies. It also covers single stock futures, forwards, spread betting, inverse single stock ETFs and more. Additionally, the chapter highlights the potential spillover effects of fraud exposure on the broader market environment, affecting e.g. indices.