stocks where borrow costs go up.
Stocks that exhibit a certain amount of volatility.
finra will exert new restrictions that will lower leverage for all.
they are totally different markets with different information sets and different market participants.
I would be shocked if strategies that work in equities work in FX
if I were management (and thinking in my self interest), I would raise a billion dollars through a share offering (don’t worry about where the share price goes). Wait three months and pay it out as a special dividend.
the action in GME isn’t about hedge funds who were short. It’s about
1. The stock settlement system breaking down if there are significant failures to deliver,
2. Contagion if hedge funds have to close other positions quickly to meet margin calls (causing financial pain across the entire...
You are wrong. And you will see all the lawsuits will be thrown out. Extraordinary events where robinhood’s clearing firms refused to do business.
second, it will be impossible to prove damages as the stock was moving wildly. Damages have to be clear and concrete - not potential profit.
I mostly spent my focus making sure I write Newwurldmn, CFA instead of Newurldmn, C.F.A
Btw - All your posts about how the options markets work are wrong.
I agree. I think he will be fine.
Even politically, it’s unlikely he will be scapegoated: who gives a shit about short selling hedge funds.
the flash crash was different. Joe 401k investor is already reeling from 2008 only to see 20percent of his retirement nearly evaporate because of greedy...