Question

In: Finance

An equity long position means ___, while short position means _____.

An equity long position means ___, while short position means _____.

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Expert Solution

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Answer:

An equity long position means that the investor has bought and own those share of stock.

investor maintain long security positions in the exceptation that price will go up .

short position means the sale of stock you do not own. Investors who sell short believe the price

of the stock will go down.

A long / short equity strategy seeks to minimize market exposure while profiting from stock rise in

The long position, along with price decline in the short positions.


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