The people who adhered to the original plan (to overcome the million person prisoners dilemma) of setting a limit sell order at 420.69 should still have made a ton of money.
AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains
11–20 of 313 posts
Re: AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains
#12I expect a lot of Redditors will be very disappointed when they realize just how much money hedge funds made, on average, out of this episode. The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. It’s hard to view the later stages of the GameStop phenomenon as anything other than a Reddit-fueled pump and dump scheme.
HFTs were printing money throughout this entire ordeal due to volatility and inefficient trades
Re: AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains
#13I expect a lot of Redditors will be very disappointed when they realize just how much money hedge funds made, on average, out of this episode. The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. It’s hard to view the later stages of the GameStop phenomenon as anything other than a Reddit-fueled pump and dump scheme.
Volatility earns hedge funds huge returns.
There are a very select few retail investors that really made a lot of money from this hype.
There were a TON of professional traders that probably thought this was like shooting fish in a barrel.
Re: AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains
#14For people not reading the article and thinking this hedge fund was short these stocks:
> In December, AMC signed a commitment letter with Mudrick Capital that called for the hedge fund to buy $100 million of new secured bonds that pay 15% cash or 17% deferred interest. In exchange, Mudrick received a commitment fee equal to about 8 million AMC shares.
ie, this firm indirectly bet on an AMC recovery, investing in them as “distressed debt”, but the recovery in their stock came true suddenly.
Re: AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains
#15I expect a lot of Redditors will be very disappointed when they realize just how much money hedge funds made, on average, out of this episode. The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. It’s hard to view the later stages of the GameStop phenomenon as anything other than a Reddit-fueled pump and dump scheme.
> The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. Well, on the flip side a lot of redditors learned from the school of hard knocks, which is the best teacher in a lot of ways. Moderators suppressing posts won't teach a lesson you can only learn by losing money.
Half of them may learn a lesson, but the other half will just blame hedge funds against for their own mistake.
Re: AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains
#16"Nobody" thought some hedge funds or bond holders would win along the ride, right? Regardless if they were tipped off about the restrictions in advance or not I think they were good citizens taking risks and helping two companies found in distress due covid.
The restrictions were at the brokerage level and only affected retail investors.
The restrictions affected the price and the price affected everyone involved. I wouldn't be surprised if the big boys received a call before a decision was made to make sure they dump everything they have before they unleash the restrictions panic.
Re: AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains
#17I expect a lot of Redditors will be very disappointed when they realize just how much money hedge funds made, on average, out of this episode. The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. It’s hard to view the later stages of the GameStop phenomenon as anything other than a Reddit-fueled pump and dump scheme.
Not at all. The past few days they've shared not only the largest long holders of these stocks, but also the pension funds that were boosted as well. A few teacher pension funds got a good uptick and they were sharing that around. The cats at wsb might be self proclaimed retards, but they're not that stupid. They know lots of other folks are going to make money off of them. You know, if you actually visit the sub, yo…
Any uptick a pension fund would have had was lost once GME reverted back.
Pension funds are buy and hold, so they could care less about short term fluctuations in 0.05% of their portfolio.
Re: AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains
#18I expect a lot of Redditors will be very disappointed when they realize just how much money hedge funds made, on average, out of this episode. The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. It’s hard to view the later stages of the GameStop phenomenon as anything other than a Reddit-fueled pump and dump scheme.
> The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. Well, on the flip side a lot of redditors learned from the school of hard knocks, which is the best teacher in a lot of ways. Moderators suppressing posts won't teach a lesson you can only learn by losing money.
WSB moderators were (and still are) actively suppressing posts that don’t toe the line. I had a seasoned Reddit account that had been in WSB for a long time. As soon as I started commenting about how the short squeeze wasn’t a sure thing, my posts stopped showing up. They’ve been dismissing any comments that aren’t about GME going to the moon as hedge fund shills or bots.
It’s extremely difficult to find any posts or comments critical of GameStop in the sub right now. If you sort by new, the critical comments are quickly removed.
Moderators aren’t just letting Redditors figure it out. They’re shaping the conversation into the illusion of a consensus.
Re: AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains
#19I expect a lot of Redditors will be very disappointed when they realize just how much money hedge funds made, on average, out of this episode. The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. It’s hard to view the later stages of the GameStop phenomenon as anything other than a Reddit-fueled pump and dump scheme.
> The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. Well, on the flip side a lot of redditors learned from the school of hard knocks, which is the best teacher in a lot of ways. Moderators suppressing posts won't teach a lesson you can only learn by losing money.
And trying to stop bad stock tips on the internet is the ultimate fools errand.
Re: AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains
#20I expect a lot of Redditors will be very disappointed when they realize just how much money hedge funds made, on average, out of this episode. The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. It’s hard to view the later stages of the GameStop phenomenon as anything other than a Reddit-fueled pump and dump scheme.
> The WSB moderators really did everyone a disservice by letting obvious misinformation flood the subreddit. Well, on the flip side a lot of redditors learned from the school of hard knocks, which is the best teacher in a lot of ways. Moderators suppressing posts won't teach a lesson you can only learn by losing money.
The path to building wealth using boring old index funds is often paid for by day trading losses. At least, that's why I switched from individual stocks to index funds.