The artificial intelligence theme (AI) has bounced shares around in 2026, giving investors the potential to short markets and profit from volatility. But, while now might seem like the time to explore shorting, there’s a reason the trading technique has a certain reputation. Shorting is risky business and there are other ways to protect a portfolio when investors think equities are heading south that don’t expose, or cost, the house.

A Machiavellian approach?

Shorting involves selling an asset before buying it back, aiming to achieve a profit as the asset’s value drops, rather than rises.

“Shorting can be a very powerful tool in the hands of the right trader,” says Paul Bourke, director of Geelong-based accounting and financial advice firm, idaws. “As advisers, we tap into the expertise of specialist investment managers to ensure the client has access to up-to-date market knowledge when they want to explore shorting.”

Read more at Money magazine … https://www.magshop.com.au/Products/MON261101/money-magazine-november-2026-issue