Share prices are getting somewhat frothy in my view; particularly in the USA and the FTSE is up nearly 25% in the last twelve months, in large part driven by the devaluation of sterling following the Brexit vote. There are numerous potential Black Swan events that could upset the apple cart, whether it is North Korea, success for the far right in the forthcoming French elections, a major Trump faux pas etc.

I am therefore considering shorting the FTSE as a hedge against the value of my existing holdings. I do not know where it is heading short term but on a risk/reward basis it is I think more likely to go down than up and perhaps sooner than later.

I appreciate that this is not an appraisal of the merits of an individual stock that is perhaps more usual on Stockopedia discussion forums, but would nonetheless appreciate any thoughts fellow contributors may have on the subject.

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