Wallstreetbets lingo free#

вЂњNow itвЂ™s possible to bet on memes, or bet on ideas, or bet on artistic trends that people might believe have a future.вЂќ They are media that allow users to program value in a way that previous media hasnвЂ™t, says Ali Yahya, a general partner at Andreessen Horowitz, who invests in cryptocurrency. вЂњThe gambling approach they take is, вЂIf you canвЂ™t beat вЂem, join вЂem.вЂ™вЂќ They share some of the same qualities: online communities, a focus on memes, and a general energy of вЂњletвЂ™s make money and have fun.вЂќ Cryptocurrency and meme stocks are вЂњtwo manifestations of the same ethos,вЂќ he says.

Wallstreetbets lingo free#

And it had fuel before the pandemic, with mobile apps, free trades, out-of-the-money options, easily available information.Д¬ryptocurrency and increased interest in retail investing happened in parallel, says Jaime Rogozinski, founder of r/WallStreetBets. The fire had been burning for a while - since the 2008 financial crisis, in fact. ItвЂ™s tempting to blame the pandemic for the surge in retail trading, but the pandemic was more like gasoline. Many of them traded on platforms such as Robinhood, which offer free trades and fractional shares, making investing easier than before. After the pandemic, about 40 percent of her students said theyвЂ™d done investing, says Swartz, an assistant professor of media studies at the University of Virginia. ItвЂ™s only going to get weirder from here.Д«efore the pandemic, only one or two of the 30 students in Lana SwartzвЂ™s classes had any investing experience. ThereвЂ™s more incentive than ever to try to become a finance influencer now that thereвЂ™s a huge retail audience. (There was also a pantsless Zoom.) It has staved off bankruptcy, and its stock is up more than 1,600 percent this year, as of the close of market on October 29th.ДЄnd with the rise of retail investors has come a new class of investing influencers, of whom Elon Musk is the most influential. AMC elected to yolo along with the retail investors, offering them free popcorn and announcing customers could buy sodas and other concessions with Bitcoin by the end of the year. Having demonstrated that they could move markets, the meme traders piled into other stocks: AMC, Bed Bath and Beyond, Nokia, Blackberry. Another hedge fund that took big losses on GameStop shut down completely. Much to the joy of the apes, hedge fund Melvin Capital lost 53 percent on its investments in January, largely due to the efforts of retail traders. But the rallying cry of r/WallStreetBets is вЂњApes together strong!вЂќ None of GameStopвЂ™s fundamentals changed, but the stock surged anyhow as the retail traders cheered each other on. One retail investor making a trade isnвЂ™t significant. The move was coordinated on r/WallStreetBets, a subreddit with millions of subscribers. And they did: the price skyrocketed 1,900 percent to $347.51 at the close of trading on January 27th from a close of $17.25 on January 4th. ThereвЂ™s more incentive than ever to try to become a finance influencerДЄnd then, in January, the retail traders decided to flex: GameStop was so heavily shorted that the traders figured that if they all jumped in, they would drive the price up. More sophisticated traders exploited market inefficiencies. So retail traders bought into stocks - not with the idea of making a long-term investment, but rather with the idea of quick money. After a few boring years where normal people mostly bought index funds, the pandemic sent a bunch of people who otherwise would have bet on sports into the welcoming arms of a new batch of mobile-first trading platforms because, well, there werenвЂ™t any sports to bet on.

Among the job duties listed: вЂњopening six-figures OTM options trades with the firmвЂ™s own capitalвЂќ and вЂњtrying your best to prevent our risk management from having a heart attack.вЂќ Most of the time on the job would be spent on Reddit, Twitter, and Discord, finding out what retail traders are up to. вЂњImportant: NO higher education in economics or finance,вЂќ the listing said. In February, a quant fund called Cindicator Capital posted a job listing for someone with three years of trading experience - and at least 1,000 karma on r/WallStreetBets.