Three bikers strode heavily into Bill Roman's library. The crystal decanter on the desk rattled with every step. Their leathers creaked. The chains on their boots and jackets jangled like the Budweiser Clydesdales at Christmas. Lily watched as her father and the leader glared at each other.

Roman found himself staring at Mortimer "Doc" Stocktout, once the best and the brightest at Roman, Wise & Pecunia. The Doc had been a big-time Producer at the firm, until he was fired -- for insider trading, embezzlement, and trading without a customer's permission.

"I took the fall for you, Billy Boy," said Stocktout, reaching into his jacket and moving toward Roman's desk. "And now it's time to pay the piper." He withdrew a long hunting knife from a sheath. Roman threw up his hands.

"Stop!" Lily cried. The broker-turned-biker laughed harshly, pulled an envelope out of his jacket, tossed it into the air, and, in one expert backhand motion, whipped the knife through it, pinning it into the wall.

"Let the games begin!" he said. "Johnny Dark! Freakboy!" he called to the two bikers who'd stationed themselves at either side of the room. They walked out of the study.

Lily followed. At the door she stopped and looked at her father. "He took the fall for you? Is that true?" she asked. In the moment of silence before he responded, she knew that it was. She walked out of the room without waiting for his answer.

All the guests had been rounded up and were standing in the shallow end of the pool. They clapped like seals at the entertainment, as the gang rode their bikes in a slow circle, tiki torches held aloft. The Bug, holding a pillowcase, was treading water under the diving board as a biker dropped celluar phones into the bag.

"Life is short," said Doc. "Let's make it interesting." Lily -- angry, hurt, confused -- heard his voice as if from a great distance.

"Oh yes," she repeated dutifully as she admired his long, dark hair gleaming in the torchlight, "Short....Interest..."

What is short interest?

1) Amount of shares shorted by institutions in the fourth market

2) The percentage of day traders trading the stock

3) Interest accruing on short term debt

4) Total number of shares of a company that have been sold short

Enter your selection in the field to the lower right, and get immediate feedback on the answer!

The answer is 4) Total number of shares of a company that have been sold short

The Fool believes that the best shorts are those with low short interest. They might present a better chance for price depreciation as few short sales have already occurred, driving down the price. Also, low short interest stocks are less susceptible to short squeezes. Short interest figures are available towards the end of each month in financial publications like Barron's and the Investor's Business Daily.

The significance of short interest is relative. If a company has 100 million shares outstanding and trades 6 million shares a day, a short interest of 3 million shares is probably not significant (depending on how many shares are closely held). But a short interest of 3 million for a company with 10 million shares outstanding trading only 100,000 shares a day is quite high.

Bill Roman, alone in his study, watched as his daughter, her mouth duct-taped, was frog-marched by Doc Stocktout toward his '47 Harley Knucklehead. He watched as Johnny Dark got to his own bike and gunned it; Freakboy was sitting in the sidecar, juggling. With a huge roar the bikes raced off down the driveway.

He picked up the envelope on his desk, opened it and shook out a cassette into the palm of his hand.

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