Gamestop

[NDballer13]

I was confused because it sure seemed backwards. I thought the "little guys" were the winners and the "big guys" were the losers this past week.

You have $100. You are free to invest that $100 as you choose. You have $100,000,000 you are free to invest that $100,000,000 as you choose. To me, that's fair. Is it fair that your $100 investment doesn't "manipulate" the market as much as $100,000,000 does? That's for you to decide but I don't think it's unfair.

It's a combination of these 2 thoughts.

You should be "free to invest", and that's the game that's been turned off. The investors with $100,000,00 short sold their shares to the guys investing $100. Now you have other people investing in the same shares, whether it be $100, $1,000, $10,00, and there aren't anymore shares. All of a sudden all the shares are taken, and the guys investing $100,000,000 left paying interest on the shares they shorted, at an even higher price.

Limiting transactions to position closing only is the exact opposite of free trade and being "free to invest as you choose". Resulting in a declining price, because the lack of purchasing demand. Fucking over the "little guy" who is hoarding these stocks that the "big guy" chose to let go.

[Deleted User 289]

"The problem I foresee is that is the "normal losers" don't know the game as well and in the long run - it's going to fuck THEM over a lot worse than it's going to fuck over the Hedge Fund guys."

True.
But that's kind of the problem at the heart of this.

Agreed - of course.
I have so many mixed feelings right now.
Obviously I am a simple minded guy and I know I am not intelligent.
Much of this is beyond my grasp.
I started to write a lot more in this post but I feel the most important thing for me to share is what I alluded to before - that I'm not so quick to celebrate wealthy people losing their money as other people seem to be. I think it hurts ALL of us in the long run.

[Deleted User 89]

i have no problem with it if it’s those wealthy people that are, at least in part, responsible for the inequalities that’s exist in the system

[zsn]

I don’t get it, except in the context of anything goes in white collar Merica.

Let’s make the stock market more about simply investing in a company you want to take ownership in cuz you think it’ll grow, and less about the game-within-itself get rich quick scheme it’s become.

There are already multiple safeguards (if you view these as such) in place to discourage speculative behavior. Rules in the tax code regarding wash sales and short- vs long term capital gains address the get-rich-quick gaming.

However, some have figured out ways to game within the system. When that gets taken to absurd extremes people start paying attention. Short selling is a tool, much like a chef’s knife is a tool. That someone decided to use it to stab someone else isn’t the tool’s fault

So how do you feel about guns.

That the “safeguards” in place are insufficient, and are not up to the times, as I think is the case for the stock market also.

[TDub]

There are already multiple safeguards (if you view these as such) in place to discourage speculative behavior. Rules in the tax code regarding wash sales and short- vs long term capital gains address the get-rich-quick gaming.

However, some have figured out ways to game within the system. When that gets taken to absurd extremes people start paying attention. Short selling is a tool, much like a chef’s knife is a tool. That someone decided to use it to stab someone else isn’t the tool’s fault

So how do you feel about guns.

That the “safeguards” in place are insufficient, and are not up to the times, as I think is the case for the stock market also.

So, just to be clear....its not the tool's fault correct?

[pdub]

You know who is a tool?
That Lee Cooperman guy.

[NDballer13]

I don't think it's so much celebrating the wealthy losing money as much as it was celebrating the word getting out of a loop hole usually only the wealthy are aware of and your average guy able to make a couple hundred/thousand bucks. The backlash at the wealthy is that you don't see markets shut down due to volatility when they are the ones making money, but it does when they lose money. Apps like Stash and Robinhood literally warn you about the volatility the moment you sign up. Using that as a reason to restrict trading is just a giant pile of bullshit.

[pdub]

ND speaking facts.

[Deleted User 89]

https://www.theatlantic.com/ideas/archi ... op/617857/

[ousdahl]

[Deleted User 89]

since 1685?

i guess jack’s isn’t the oldest

[PhDhawk]

Thank you to pdub and Newton for your responses!
I was confused because it sure seemed backwards. I thought the "little guys" were the winners and the "big guys" were the losers this past week.
I didn't realize we were talking about life before this happened.

My worthless 2 cents.

You have $100. You are free to invest that $100 as you choose. You have $100,000,000 you are free to invest that $100,000,000 as you choose. To me, that's fair. Is it fair that your $100 investment doesn't "manipulate" the market as much as $100,000,000 does? That's for you to decide but I don't think it's unfair.

If you take your $100 and invest it in a stock that goes up 20%. The guy/group who invested $100,000,000 makes more money than you do but they don't get more than the 20% return you're getting.
So to me, that's fair.

I didn't understand the wording/logic of turning off the game and changing the rules mid game.
If the Ken Griffins of the world "turned off the game" then I admit I have mixed feelings.
I'm not going to go in to details right now why I say that.

As far as the Hedge Fund Mangers being "tricked", sucks to be them. They know the game well. They took risk and that risk led to big loses. You CAN win them all but you're not going to win them all.
The problem I foresee is that is the "normal losers" don't know the game as well and in the long run - it's going to fuck THEM over a lot worse than it's going to fuck over the Hedge Fund guys.
I'm not going to pretend to figure out what is "fair" and "unfair" in terms of the Hedge Fund guys "bitching" but I am going to say if the Hedge Fund guys go broke - we ALL will suffer in the long run.

But what about shit like accredited or qualified investors. Rich people have the ability to invest in securities that poor people have no access to and literally can not invest in because they're not allowed.

How is that fair?

But instead people are mad cause they're asked to wear masks.

[ousdahl]

WHAT IN THE FUCKING FUCK IS HAPPENING

[ousdahl]

This is awesome. Media can’t blame this on politics, or racism, or sexism, or anything other than a bunch of average joes sticking it to the man.

There’s also a big class action happening?!

[jfish26]

It's going to take a long time to really unpack all this.

https://pluralistic.net/2021/01/28/paym ... streetbets

I think it's clear you're going to see regulation of...access to cheap/easy options.

[Deleted User 289]

Thank you to pdub and Newton for your responses!
I was confused because it sure seemed backwards. I thought the "little guys" were the winners and the "big guys" were the losers this past week.
I didn't realize we were talking about life before this happened.

My worthless 2 cents.

You have $100. You are free to invest that $100 as you choose. You have $100,000,000 you are free to invest that $100,000,000 as you choose. To me, that's fair. Is it fair that your $100 investment doesn't "manipulate" the market as much as $100,000,000 does? That's for you to decide but I don't think it's unfair.

If you take your $100 and invest it in a stock that goes up 20%. The guy/group who invested $100,000,000 makes more money than you do but they don't get more than the 20% return you're getting.
So to me, that's fair.

I didn't understand the wording/logic of turning off the game and changing the rules mid game.
If the Ken Griffins of the world "turned off the game" then I admit I have mixed feelings.
I'm not going to go in to details right now why I say that.

As far as the Hedge Fund Mangers being "tricked", sucks to be them. They know the game well. They took risk and that risk led to big loses. You CAN win them all but you're not going to win them all.
The problem I foresee is that is the "normal losers" don't know the game as well and in the long run - it's going to fuck THEM over a lot worse than it's going to fuck over the Hedge Fund guys.
I'm not going to pretend to figure out what is "fair" and "unfair" in terms of the Hedge Fund guys "bitching" but I am going to say if the Hedge Fund guys go broke - we ALL will suffer in the long run.

But what about shit like accredited or qualified investors. Rich people have the ability to invest in securities that poor people have no access to and literally can not invest in because they're not allowed.

How is that fair?

But instead people are mad cause they're asked to wear masks.

Of course you're not wrong and we can get in to semantics all day long but are we talking making large security and/or commodity investments or "simple" people who have a bank account and are able to easily buy (and sell) stock/s as they please?
As far is it being fair or unfair that not everyone has the ability (and "means") to invest like the "rich" people - then I guess those who feel it's unfair must also feel it's "not fair" that they can't get a mortgage on a 10 million dollar home when they have $10,000 to their name.

[TDub]

It's going to take a long time to really unpack all this.

https://pluralistic.net/2021/01/28/paym ... streetbets

I think it's clear you're going to see regulation of...access to cheap/easy options.

I havent read that article yet. But i hate your last sentence and it represents a large step backwards. There was no cheap and easy access for decades. It benefits everyone for everyone to play the game.....even the sharks. Just like poker, the short stack us gonna win some pots every once in a while but they cant keep up with the big dogs and eventually theyll lose their money or a few smart ones will walk away after taking some small bites. Even when they do win, their limited stack limits their winnings.

Let everyone play, let the market be open and fair and free.

[Deleted User 89]

i agree TDub, but the big dogs aren’t gonna let their power be taken away, even if it’s only a small fraction that’s being taken

[pdub]

Robinhood sells data before/after the market opens to hedge funds.
I should have known that but I didn't.
Bullshit.

[ousdahl]

How is that fair?

But instead people are mad cause they're asked to wear masks.

It’s kinda mind boggling that we the people don’t stand up more for our own economic rights.

So many other topics of outrage come across as little more than distractions from as much.