Anyone know about property developing/BTL? (1 Viewer)

[mrtrench]

I am prepared to be corrected here but I think it's something like this - basically a hedge fund shorted on shares in this company which means they bought a shit load of shares in it and needed the price to drop.

Sorry to be a geek. If they shorted the shares they must have sold shares they did not own. They cannot have a negative balance at the depository so they would have then borrowed the shares from someone else - for which they pay a fee.

But I agree with your point. Only heard about this briefly this evening but I suspect the charge is market manipulation - which is wrong and the rules are there to protect individuals from dirty tricks.

 

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[shmmeee]

Been reading a bit and it seems the plan is to hold until the hedge funds have to buy back at massive losses. Apparently GameStop had more shorts than stocks in the company? How is that even possible?

Lots of angry internet people out there, I think I saw talk of a class action against RobinHood for stopping trading and forcing sales.

Apparently one of the hedge funds bailed out a clearing house or something and they turned off the funds to the broker. I got a bit lost at that point.

DogeCoin going through the roof as well.

I’d be tempted to have a dabble for the lols if it wasn’t the end of January and I wasn’t in the middle of a house purchase.

Fun to watch tho.

 

[clint van damme]

Sorry to be a geek. If they shorted the shares they must have sold shares they did not own. They cannot have a negative balance at the depository so they would have then borrowed the shares from someone else - for which they pay a fee.

But I agree with your point. Only heard about this briefly this evening but I suspect the charge is market manipulation - which is wrong and the rules are there to protect individuals from dirty tricks.

Yeah correct, shorting is borrowing rather than buying.

 

[Grendel]

I am prepared to be corrected here but I think it's something like this - basically a hedge fund shorted on shares in this company which means they bought a shit load of shares in it and needed the price to drop.
These geeks and gamers then started buying shitloads there foe pushing the price up and the hedge fund is in dep shit. They're now trying all sorts of dirty tricks to stop these gamers and get their money back. Beaten at their own game and fucking blarting about it!
Basically there are trading platforms restricting trading in the company by individual traders while carrying on allowing hedge funds to do what the fuck they want.

All hail the free market ,(unless it doesn't go our way then make it not free!)

They don’t buy the shares they pay the shareholders a fee and then sell them on their behalf and buy them back at a loss when they fall and hand them back to the original owner the fee covering their losses

In the background they bet huge bets on share price falling so make money by distressing the business

It’s an old trick of share manipulation but it’s failed as individuals i assume have bought the shares before the time frame of the bet so have driven prices up

 

[mrtrench]

But I agree with your point. Only heard about this briefly this evening but I suspect the charge is market manipulation - which is wrong and the rules are there to protect individuals from dirty tricks.

I was wrong; I did say I was new to the story. It was the brokers that suspended trading and the US regulator has come down on the side of the gamers. They have started an investigation.

I hope these kids have only put in money they are happy to lose because some of them are going to lose a lot once gravity kicks in. Others will make a lot.

 

[shmmeee]

I was wrong; I did say I was new to the story. It was the brokers that suspended trading and the US regulator has come down on the side of the gamers. They have started an investigation.

I hope these kids have only put in money they are happy to lose because some of them are going to lose a lot once gravity kicks in. Others will make a lot.

r/wallstreetbets was mostly tech bros and others with cash to burn before this it seems, there’s obviously a load of kids who have jumped on now. Whenever someone on there pops up who claims to have bet their rent or something they’re swiftly told not to be so stupid.

It’s a fascinating mix between hard libertarian day traders and hard left types trying to stick it to the man, but mostly a bunch of meme lords and idiots along for the ride.