Hedge fund Melvin sustains 53% loss after Reddit onslaught
arstechnica.com
Hedge fund Melvin sustains 53% loss after Reddit onslaught
1–10 of 410 posts
Re: Hedge fund Melvin sustains 53% loss after Reddit onslaught
#2We just really like that stock.
Re: Hedge fund Melvin sustains 53% loss after Reddit onslaught
#3I wonder if all of this would have still happened had retail investors not gotten involved. I just don't understand enough, and feel very vulnerable to misinformation, half-truths, and outright lies...
Re: Hedge fund Melvin sustains 53% loss after Reddit onslaught
#4[deleted]
Re: Hedge fund Melvin sustains 53% loss after Reddit onslaught
#5> On Wednesday Melvin said it had exited its bet against GameStop and repositioned its portfolio. The firm moved to reduce risk in its investments following a turbulent start to January when it lost 30 percent in the first three weeks. Melvin’s leverage ratio is at the lowest it has been since the firm’s founding in 2014, said a source familiar with the firm. The news of Melvin’s January performance was first reported by The Wall Street Journal.
Which begs the questions: who are the remaining short-sellers and what do their positions look like? Are they other hedge funds with soon-to-expire positions or are they retail investors betting that GME will be back down to $100 or less by next month?
Re: Hedge fund Melvin sustains 53% loss after Reddit onslaught
#6Were all the shorts actually covered? There seemed to have been a lot of contradictory information over the weekend.
Re: Hedge fund Melvin sustains 53% loss after Reddit onslaught
#7> On Wednesday Melvin said it had exited its bet against GameStop and repositioned its portfolio. The firm moved to reduce risk in its investments following a turbulent start to January when it lost 30 percent in the first three weeks. Melvin’s leverage ratio is at the lowest it has been since the firm’s founding in 2014, said a source familiar with the firm. The news of Melvin’s January performance was first reporte…
As many have noticed, from a game theory point of view, Melvin announcing they closed their position is a strictly dominant strategy.
Re: Hedge fund Melvin sustains 53% loss after Reddit onslaught
#8The best part about this whole situation is news companies having to translate crude reddit humour and logic in to something old people can understand.
Seeing them trying to explain why billions of dollars move because of people who refer to themselves as retards who want to earn money to buy chicken tenders.
Re: Hedge fund Melvin sustains 53% loss after Reddit onslaught
#9> On Wednesday Melvin said it had exited its bet against GameStop and repositioned its portfolio. The firm moved to reduce risk in its investments following a turbulent start to January when it lost 30 percent in the first three weeks. Melvin’s leverage ratio is at the lowest it has been since the firm’s founding in 2014, said a source familiar with the firm. The news of Melvin’s January performance was first reporte…
A better question is: If Melvin made a huge short position and is now finally out of it, why would they bother telling everyone? ;-)
Re: Hedge fund Melvin sustains 53% loss after Reddit onslaught
#10> On Wednesday Melvin said it had exited its bet against GameStop and repositioned its portfolio
If they really had exited, why would they bother telling anyone?
> A Melvin spokesperson declined to comment on the firm’s January performance
Hmmmm. They won't talk about performance, but they're very keen to convince everyone they've exited their short position. This reads like yet another press release that all the major outlets have run.