Summary
Short selling is a trading strategy in which you speculate on the decline in the price of a stock or other security. If you'd like to learn about the intricacies of short selling real stocks, be sure to check out this article explaining the short selling of stocks.
Some stockbrokers only allow long position in stocks and ETFs. Others allow short positions only via CFDs on a handful of popular individual stocks. Advanced traders prefer brokers that allow the short selling of real stocks (and not just CFDs) on most stock markets their clients have access to.
Fortunately, clients of MEXEM can short real stocks.
Short selling of real stocks at MEXEM
The number of stock markets a broker provides access to is a good indication for the number of real stocks available for short selling. Note that brokers may not allow short selling on all stock exchanges, therefore the total number of available stock markets may be lower. Financial regulators sometimes restrict short selling. For example when the Covid-19 pandemic engulfed Europe, six European countries implemented temporary bans on short-selling.
Stock markets (#)
|
90 | 50 | 29 |
---|
Data updated on November 25, 2024
You need to have a margin account to be able to open short positions. This type of account usually comes with different requirements than regular trading accounts. For example, in the US, you need a minimum deposit of $2,000 for margin trading. To compare the fees associated with the short selling real stocks, let's take a look at a $2,000 short sale trade.
US stock
|
$1.0
|
$1.6
|
$2.2
|
---|---|---|---|
UK stock fee
|
$3.1
|
$3.8
|
$3.4
|
German stock
|
$1.9
|
$3.2
|
$5.3
|
Data updated on November 25, 2024
If none of the brokers above are a good match for you, we recommend our article listing the best brokers for short selling.
Shorting a currency
At MEXEM, you can trade forex pairs, therefore you can go long or short in any of the currency pairs they offer. In the following table you will find our calculation for shorting the most traded currency pairs. This catch-all benchmark includes commissions, spreads and financing costs for all brokers
EURUSD benchmark fee
|
$19.1 | $10.9 |
-
|
---|---|---|---|
GBPUSD benchmark fee
|
$14.6 | $6.6 |
-
|
AUDUSD benchmark fee
|
$33.0 | $12.1 |
-
|
EURCHF benchmark fee
|
$5.8 | $0.0 |
-
|
EURGBP benchmark fee
|
$19.1 | $10.5 |
-
|
Data updated on November 25, 2024
Short selling futures
You can short some of the most traded markets at MEXEM using futures. The table below shows the fees for selling 10 contracts.
US micro e-mini stock index futures
|
$10.0
|
$30.0
|
$7.5
|
---|---|---|---|
UK stock index futures
|
$25.0
|
$37.5
|
-
|
German e-mini stock index futures
|
$19.4
|
$43.2
|
$8.1
|
Data updated on November 25, 2024
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Everything you find on BrokerChooser is based on reliable data and unbiased information. We combine our 10+ years finance experience with readers feedback. Read more about our methodology.