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1. Just look at their financial statements they , nobody is allowed this naked shorting but Cidatel is because they are a market manipu ahhh sorry maker. Not

by Lionga 2y ago

1. Just look at their financial statements they , nobody is allowed this naked shorting but Cidatel is because they are a market manipu ahhh sorry maker. Not that others won't naked short also, it is just they do not do it openly.

gruez 2y ago
>nobody is allowed this naked shorting but Cidatel is because they are a market manipu ahhh sorry maker. That's... working as intended? > market makers provide a required amount of liquidity to the security's market, and take the other side of trades when there are short-term buy-and-sell-side imbalances in customer orders. In return, the specialist is granted various informational and trade execution advantages. You can argue such a system is inegalitarian or whatever, but if you want a reliable provider of liquidity that won't instantly vanish when there's market turmoil (ie. when you need it the most), there has to be some mechanism to compensate market makers.
- slt2021 2y ago
  Citadel is basically counterfeiting shares, just like the Fed is printing dollars. its a scam and is a reason how Citadel makes $30,000,000,000 profit per year
  - gruez 2y ago
    >its a scam and is a reason how Citadel makes $30,000,000,000 profit per year Where are you getting "$30,000,000,000" (billion) in profit? Wikipedia says they only made $6.3 billion in revenue in 2023. Moreover, they were in existence for 22 years. Even if they only started "counterfeiting shares" in 2021, $30B in profit per year (so $90B in the past 3 years) seems absurd for only $60B worth of "counterfeiting shares" on their balance sheets.
    - slt2021 2y ago
      Citadel gross trading profit totalled $28bn last year, https://www.hedgeweek.com/citadel-makes-record-16bn-profit/#:~:text=Citadel%20gross%20trading%20profit%20totalled,in%20expenses%20and%20performance%20fees https://www.hedgeweek.com/citadel-makes-record-16bn-profit/#.... 60B is a balance at a specific date 12/31/2022, they trim the balance by the EOY and harvest losses. the average balance is much bigger and fluctuates heavily given market demand. UPD: I stand corrected, the market making arm only made meager $5,000,000,000 for the 6 months, so more like 10,000,000,000/year, not 28 https://www.nasdaq.com/articles/citadel-and-jane-street-set-record-revenue-competition-banks-heats https://www.nasdaq.com/articles/citadel-and-jane-street-set-...
      - gruez 2y ago
        "Citadel Securities is a separate entity from the hedge fund Citadel LLC" https://en.wikipedia.org/wiki/Citadel_Securities https://en.wikipedia.org/wiki/Citadel_Securities The market maker boogeyman is Citadel Securities, not Citadel LLC.
        taway789aaa6 2y ago
        Assuming that they have a proper firewall between the two and there are no conflicts of interest..

by Lionga 2y ago

gruez 2y ago

>nobody is allowed this naked shorting but Cidatel is because they are a market manipu ahhh sorry maker. That's... working as intended? > market makers provide a required amount of liquidity to the security's market, and take the other side of trades when there are short-term buy-and-sell-side imbalances in customer orders. In return, the specialist is granted various informational and trade execution advantages. You can argue such a system is inegalitarian or whatever, but if you want a reliable provider of liquidity that won't instantly vanish when there's market turmoil (ie. when you need it the most), there has to be some mechanism to compensate market makers.

slt2021 2y ago
Citadel is basically counterfeiting shares, just like the Fed is printing dollars. its a scam and is a reason how Citadel makes $30,000,000,000 profit per year
- gruez 2y ago
  >its a scam and is a reason how Citadel makes $30,000,000,000 profit per year Where are you getting "$30,000,000,000" (billion) in profit? Wikipedia says they only made $6.3 billion in revenue in 2023. Moreover, they were in existence for 22 years. Even if they only started "counterfeiting shares" in 2021, $30B in profit per year (so $90B in the past 3 years) seems absurd for only $60B worth of "counterfeiting shares" on their balance sheets.
  - slt2021 2y ago
    Citadel gross trading profit totalled $28bn last year, https://www.hedgeweek.com/citadel-makes-record-16bn-profit/#:~:text=Citadel%20gross%20trading%20profit%20totalled,in%20expenses%20and%20performance%20fees https://www.hedgeweek.com/citadel-makes-record-16bn-profit/#.... 60B is a balance at a specific date 12/31/2022, they trim the balance by the EOY and harvest losses. the average balance is much bigger and fluctuates heavily given market demand. UPD: I stand corrected, the market making arm only made meager $5,000,000,000 for the 6 months, so more like 10,000,000,000/year, not 28 https://www.nasdaq.com/articles/citadel-and-jane-street-set-record-revenue-competition-banks-heats https://www.nasdaq.com/articles/citadel-and-jane-street-set-...
    - gruez 2y ago
      "Citadel Securities is a separate entity from the hedge fund Citadel LLC" https://en.wikipedia.org/wiki/Citadel_Securities https://en.wikipedia.org/wiki/Citadel_Securities The market maker boogeyman is Citadel Securities, not Citadel LLC.
      - taway789aaa6 2y ago
        Assuming that they have a proper firewall between the two and there are no conflicts of interest..