The Globe and Mail reports in its Saturday edition that complex companies can, at times, be easy targets for short-sellers. The Globe's David Berman writes that Muddy Waters Research alleged in February that Fairfax Financial Holdings had overstated its balance sheet by $4.5-billion with "abusive accounting" and "value destructive" transactions. The share price plunged nearly 12 per cent on Feb. 8. Dalrymple Finance alleged in October that Brookfield Infrastructure Partners employed "aggressive accounting" and used "inflated cash flows and asset values" to mask an unsustainable dividend. Its unit price slumped 12.6 per cent over the week that followed the report. Both Fairfax and Brookfield have recovered since the short-seller reports. The whipsawing suggests that the initial allegations may have touched a nerve with investors who cannot immediately assess the validity of a short-seller's case. The reason is that Fairfax and Brookfield are not simple companies to understand. Some complex companies have targets on them, which means that investors will have to accept that there may be uncomfortable periods of turmoil. However, when short-sellers create mayhem, they can also set up attractive buying opportunities.