No6 said:
Some financial analysis from the Guardian here:
<a class="postlink" href="http://www.theguardian.com/football/blog/2014/jan/14/manchester-united-share-price-david-moyes-premier-league?CMP=twt_gu&commentpage=1" onclick="window.open(this.href);return false;">http://www.theguardian.com/football/blo ... mentpage=1</a>
Having fun WUMming in the comments too :)
Edit: just come across this too via the comments section: <a class="postlink" href="http://www.thisismoney.co.uk/money/markets/article-2521621/The-22m-football-bet-Hedge-fund-guru-Crispin-Odey-shorts-Manchester-United-shares.html" onclick="window.open(this.href);return false;">http://www.thisismoney.co.uk/money/mark ... hares.html</a>
Anyone with a bit more financial acumen than me got any more info on this?
What he's done is sell shares he hasn't got (basically that he's borrowed) in the expectation that he can buy those back at a lower price later on, thereby making a profit. He's gambling on the price going down and he that he will be able to do that. If it goes up, then it costs him money.
It's like one of us agreeing to sell a match ticket to someone for £50 then trying to buy one for less money before you have to give it to the buyer. If you buy one for £35, you're in profit. If you have to pay £55 then you've lost a fiver.