The wisdom of being short in something which yields 14% and pays monthly seems a little hard to fathom.
I have no trouble fathoming.
When it pays a dividend the stock price goes down and the book value goes down. Dividends have zero impact on shorts.
In general ARR tends to have short periods where interest rates are mostly stable where it performs okay, and then periods where it vastly under-performs. In the last 12 months ARR has performed worse than the S&P 500, but it hasn't crashed. in the period 12 to 24 months ago it did crash.
Think about if you're short:
1. One year you make huge profits when it crashes 2. The next year it still under-performs the market but doesn't crash