Warning, page-85

An interesting article from SMH today regarding by the shorts - by hedge fund VGI which bets on failure.

The below comment is very astonishing:

As Johnson says: “the whole (VGI) short strategy is: we’re going to throw 20 things at the dart board, and if one of them opens up a window for us to squeeze through, we don’t really care if the other 17 are proven to be true of not”.

The share price of a company stands on sentiments adjacent to performance. When irrelevant things are thrown at company as strategy does it not drive down the sentiment affecting the share price. Obviously making profit is the primary motto and retail investors have no insight into this approach and we will scratching our head why the share price has walloped.

How come such untrue things are allowed to be thrown at the dart board?

Bellamy was also prominently shorted which brought SP down to around low of 7+.


https://www.smh.com.au/business/com...ns-by-betting-on-failure-20181102-p50dny.html