print email comment close Division of Market Regulation: Key Points About Regulation SHO URL: http://www.sec.gov/spotlight/keyregshoissues.htm Description: This fact sheet discusses the federal regulation of short sales, "the sale of a stock you do not own. ... Short sellers believe the price of the stock will fall, or are seeking to hedge against potential price volatility in securities that they own." Includes examples of short sales and "naked" short sales, description of how short selling works, and potentially illegal short selling activity. From the Securities and Exchange Commission (SEC). Publisher: Securities and Exchange Commission (SEC) LII Database Information: Record 26934 created by Maria Brandt on 09/19/2008 Last modification on 09/22/2008 Published: 09/24/2008   Funding agency: California State Library LII Item ID: http://lii.org/cs/lii/view/item/26934