Photo: protestors protest outside Robin Hood’s headquarters in California on the 28th. /Pictures on the Internet
[Ta Kung Pao] according to the financial times, in September 2011, thousands of protestors gathered in Manhattan, New York, to protest against the money power trade and social injustice in American politics;. But the signs of the past week suggest that the trick to really piss off the financial elite is to beat them from within. According to the analysis of the financial times, there are three major factors that have enabled retail investors to complete the leap from “occupy Wall Street” ten years ago to “bloody wash wall street” today.
First, retail investors are paying close attention to some individual stocks. The early signs come from Hertz, a car rental company, whose shares rose 800% in June last year after filing for bankruptcy protection. Secondly, option trading has been popularized, and a large number of small bets on the future trend of stock prices have flooded the market which used to be monopolized by professionals for a long time, thus amplifying the market impact.
The third and most destructive factor is that retail investors are organized through social networking platforms such as forums. The most important one is reddit’s Wall Street bets, which has as many as 3.1 million users. Some fund managers said that in terms of the ability to promote the market, the largest fund in the world is Wall Street bets.
Today, this “mob” has threatened the lifeblood of hedge funds. The latest result of the Gamification of the market is the hunting of short sellers. &Carson block, one of the most famous short sellers, said, “it’s not complicated – whether you want to significantly reduce your short bets or risk bankruptcy. ”