''Both HBOS and RBS have been weak and people are bottom fishing, as they think they are potentially cheap,'' said Colin Morton, who helps manage $US3 billion at Rensburg Fund Management. Jabre Capital Partners, Philippe Jabre's hedge fund, is selling HBOS' shares short to mitigate the risk it's taking as a sub-underwriter of the rights offer, which closes July 18. 'Pure Hedging' ''I'm long the rights and short the shares,'' Jabre said in a telephone interview from Geneva. ''It's pure hedging.'' He's underwriting more than he shorted, he added.