In the latest coverage, 2iQ’s data was used in an article on Portfolio Adviser. The article covered the ongoing trends in the shorting market of the UK. As the article states, there are £28.9 billion worth short positions active in the UK as of the moment.
According to Portfolio Adviser and new data from 2iQ, there were all in all 87 managers shorting the UK market.
Of these, the most active trio were:
GLG Partners - 44 positions currently held
Marshall Wace - 33 positions currently held
Blackrock - 26 positions currently held
The article reads:
2iQ financial analyst Suhaib Haider says: “Fund managers and investors can identify stock from small and mid-cap categories where price deviation is still possible even in a well-researched market. Also, shorting [large cap stocks] requires a huge fee that short sellers normally pay to the lender of the stocks.”
Previously, analysts at 2iQ covered the news that Ray Dalio’s, Bridgwater associates made when it reported taking short positions worth almost €8.64 billion according to June 21 updates. All these short positions were against 25 company stocks, all listed on the Euro Stoxx 50.
Unsurprisingly, all this shorting was followed by decreased market caps of these companies.