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I think I wasn't clear in what I was saying. I made it sound like them being dangerous was a bad thing. I am placing no value judgement on WSB, just acknowledgi
by IgorPartola 6y ago
I think I wasn't clear in what I was saying. I made it sound like them being dangerous was a bad thing. I am placing no value judgement on WSB, just acknowledging that they are on the way to becoming a serious player in this game, with the ability to cause serious damage to other players (hedge funds, public companies, etc.). This is a quality that I already attribute to the hedge funds, the SEC, the big corps, etc. as inherent. Whether WSB becoming a serious player is a good thing or not is really not clear to me. I would expect that it results in a lot of collateral damage, first and foremost to some percentage of retail investors. At the same time, the fact that you can short stocks in the manner that GME got shorted is a much clearer and much more immediate problem, IMO. And I share your view that the haves seem to want to keep the havenots out of their clubhouse and will do all manner of things to keep the separation.
But overall, no I don't think that we should do anything about WSB. The GME situation is at best a symptom of a broken system, it's just that this time hedge funds got (theoretically) hurt not by other hedge funds but by retail investors so everyone noticed. If anything, let's fix the rules of the game so it's closer to fair for the little guy, and fix the SEC to keep those rules properly enforced.