Short Selling dissertation ideas

[zo786]

hi everyone,

Im starting a dissertation on short selling, but having trouble narrowing my ideas down to one question to answer as a title for my work

It is for a 3rd year project of a BSc in economics.

I want to cover short selling, but i dont know if i should look at the ban of short selling, and assess its effectiveness.

I just need some ideas to pick some questions from, and have got writeres block, i dont know where to start brain storming.

any ideas people? cold be anything on short selling!

 

[Captain Haddock]

That sounds like a good title to me, it gives you real scope to dig right down into the issues of liqudity at market/sector lows, lending of stock, differences in affects between small and large caps. How the ban is worked around (selling the index then buying the index basket minus the share you want to short etc) and more.

Anything more specific such as "Does the increase in market volume and liquidity from short selling improve the markets search for true value" or "Does the removal of liquidity from short sellers result in more extended downside moves" and you might have trouble padding it out with some good info.

Good luck.

 

[robster970]

How about the demonisation of short selling by the media? The British newspapers seemed to position going short as akin to devil worshipping, just plain wrong and almost subversive. Why was that? Why is buying/long perceived to be good where as selling/short perceived to be evil?

More to do with socio-economics if in fact that word or subject exists.

Perhaps I just need more coffee.

 

[Liya1]

Have a look at some good finance dissertation topics here: Free Finance and Accounting Dissertation Topics

 

[MrGecko]

What about the relationship between short interest and stock prices / volumes / volatility / whatever

 

[shadowninja]

I would look at why banning shorting is stupid. If I don't want to pay £10 right now for RBS, then the price will fall until it reaches a price I am willing to buy at. Supply and demand. Or am I confused?

 

[Gumping]

I would look at why banning shorting is stupid. If I don't want to pay £10 right now for RBS, then the price will fall until it reaches a price I am willing to buy at. Supply and demand. Or am I confused?

YES!!!

Your dissertation should attack idiots! This is what all clever people should do. It is your duty.

 

[zo786]

haha

thanks for the suggestions, i handed it in at the end of march this year, waiting for a result now.

i looked at if the ban on short selling (sept - Jan 2009) and could it be classed as a success. how it affected volatility, dampened downward spiraliing share etc. turns out shares part of the ban saw a huge increase in volatility, increase spreads etc etc, but it may have stopped a few big names going under.

thanks for the help guys

 

[96pills]

it would be interesting to have a read.....