(Reuters) - Short interest on the Nasdaq rose about 2.2% in mid-March, the exchange said in a statement released late on Tuesday.

As of March 14, short interest rose to about 15.66 billion shares, compared with 15.33 billion shares at the prior settlement period, which was Fed. 28.

Investors who sell securities 'short' borrow shares and then sell them, expecting the stock to fall so they can buy the shares back at the lower price, return them to the lender and pocket the difference.

Shorting can also be part of a hedging strategy.

(Reporting By Sinéad Carew)