this might be a dumb question, but how come tdameritrade won't allow me to sell this short? and why can't i find any etf that focuses on shorting muni's? Particularly california ones. can someone tell this dumbass how to short california muni's?
"can someone tell this dumbass how to short california muni's?"
You can sell calls against a particular ETF; however (macro picture) don't be so sure CA or any other state but especially CA is just going to forget how to collect tax receipts & charge service fees and blow off paying interest on debt. Also on another note think twice about directly shorting a dividend paying instrument; equity, bond whatever; you have to pay the dividend while you hold the position. A buddy of mine did this with a mortgage REIT a coulpe years back, Annaly, which as luck would have it was one of the few MREITs to side step the blow up; needless to say he's having to work a little more know.