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What are short selling and margin trading?

by Dr. Gaurav Sinha , Mr. Vinay Kohli  ·  Unit 64 of 100
Short selling is a trading strategy in which an investor sells borrowed shares with the expectation of purchasing them later at a lower price. Margin trading allows investors to purchase securities by borrowing funds from their broker, enabling larger positions than their available capital would normally permit. Both strategies involve additional risks and require careful risk management.