Research on short selling manipulation 1 For those of you who are into research papers. There is a paper by John D. Finnerty (Fordham University Graduate School of Business New York) and published by the SEC. The title is:
SHORT SELLING, DEATH SPIRAL CONVERTIBLES, AND THE PROFITABILITY OF STOCK MANIPULATION
Some highlights:
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Stock manipulators carefully timed their aggressive ‘bear raids’ to exert maximum selling pressure. The price declines attracted free riders, and the combined pressure on the prices of the targeted stocks produced virtually assured profits. The manipulators found that they could defeat any opposition by employing “tricks that only sly and astute speculators invent and introduce,”