Another: former mutual fund impresario William Miller, whose Legg Mason Value Trust bet on cheap-looking financial institutions on their way to getting far cheaper.

FORBES: Magazine Article

It claimed Goldman did not disclose that Paulson, one of the world's largest hedge funds, had bet that the value of the securities would fall.

BBC: Goldman Sachs agrees record $550m fine

Students of Intel say Grove's bet on the emerging value of microprocessors is a good example.

WSJ: The Coach (Jim Harbaugh) and the Egghead (Andy Grove)

Borrowers are then able to sell the shares short, or bet that they will decline in value.

FORBES: N.C. Treasurer Buried $771 Million Securities Lending Loss

So clearly small-cap value stocks would appear to be the best bet on an absolute return basis.

FORBES: For Total Return, Look To Small-Cap, Dividend-Paying Value Stocks

In fact, the SEC argues, Mr. Tourre knew Paulson intended to bet the CDO would fall in value.

WSJ: From 'Fabulous Fab' to Grad Student

The restrictions also cover the use of credit derivatives to bet on a fall in the value of the debt of a eurozone government.

BBC: Germans approve euro rescue plan

My bet is that management will begin to see the value of the company tied to annual performance, and the ceiling for stock prices will surely rise.

FORBES: The Place of Shareholder Value

Most presidential candidates don't think it appropriate to bet that the U.S. dollar will lose value by speculating in Swiss Francs, which is basically the rationale offered by the trustee of Romney's "blind" trust for opening this account.

CNN: Why won't Romney release more tax returns?