M&S stock shorted by hedge fund giants in blow to new CEOs

M&S has been shorted by hedge fund giants
// M&S has been shorted by hedge fund giants BlackRock and Marshall Wace just weeks after the appointment of its new chief executives
// Retailers have been targeted by short-sellers as the cost-of-living crisis rages on

BlackRock and Marshall Wace, two of the world’s most powerful investors, are shorting Marks & Spencer stock as they bet against the retailer.

The funds have disclosed the combined £35 million short position just weeks after M&S revealed that food boss Stuart Machin would take over from current chief executive Steve Rowe with strategy boss Katie Bickerstaffe made his co-chief executive, according to the Mail on Sunday.

Short-selling is a way of betting a share price will fall. Investors borrows a security, sells it on the open market, and expects to buy it back later for less money,

READ MORE: M&S CEO Steve Rowe stands down as Machin and Bickerstaffe take over

Retailers have been targeted by short sellers in recent months as investors bet big businesses in the sector will struggle in the face of the cost-of-living crisis.

BlackRock, which is the world’s largest asset manager, has bet against many retail stocks, including Sainsbury’s, Currys and B&Q owner Kingfisher while Marshall Wace has shorted many online retailers Asos, Boohoo and Ao.com.

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