Professional money managers are warning retail investors the Reddit-fuelled rush into unloved tech stocks such as GameStop will end in tears, amid fresh signs the euphoria that has lifted share prices to stratospheric levels is spreading to Australia.
Pengana international equities deputy portfolio manager Steven Glass said retail investors must keep in mind that stocks like GameStop are currently being driven higher by “pure speculation”. Co-founder of Stake, Matt Leibowitz, said “there’s a niche core following these trends” and believed it was unsurprising some traders on the youth-focused platform would be interested.
Co-founder of millennial-focused Australian investing podcast and community Equity Mates, Alec Renehan, said the mood inside Wallstreetbets has been “euphoric” and the stock moves have shown the power of retail investors leveraging online forums.Loading
MsEmmaK Hmm so wait.. the professionals who manipulate the markets for their own gain warn that manipulating the market to ruin them is bad.. Got it, thanks 🤦
MsEmmaK Long bitcoin and GameStop short the banks 😉
MsEmmaK Professional money managers also shorted **140%** of available float which will end in tears for at least one hedge fund.