Before we all get too excited about fucking over hedge funds by investing in plastic dog turds, it's probably worth mentioning that most hedge funds are investing on behalf of other people.
Its quite likely that your 401k or pension fund is being managed by a hedge fund.
Its also worth noting that when hedge funds are forced to liquidate/manage positions due to r/wallstreetbets shenanigans, it doesn tjust affect the stock being pumped. It affects their other positions as well.
I lost on Google etc, even though it had nothing to do with gme/amc.
Still, it's going to be very entertaining watching this play out Just bought the dip on dogecoin for a laugh and have bought some xrp in preparation for the planned pump on Monday.
Yolo. HODL. Etc.
Mouth, I gotta disagree with you on this one.
1) the pension claim means little to me since we have no idea how much money Melvin Capital had from pension money. This just seems like a talking point for those who want to create sympathy for the hedge funds and deflect where most hedge profits really go (not to normal people).
2) hedge funds are risky investment institutions and anyone who signs on to work with one knows this. (It's funny the risk mantra of capitalism always seems to vanish as soon as wealthy people have to pay out).
3) offering pensions was a risk the company took out to attract workers, if the pension is underfunded it is up to them to invest more to pay for the pensions (defined benefit plans are not 401ks, the pensioners don't need to come up with the shortfall)
4) companies pay insurance premiums to the gov to cover defined benefit plans (legislation passed in 1974 created an insurance company and rules for this)
5) also this also makes it seem like pensions are a thing in society and this harming tons of people 18% of private companies offer pensions (and this isn't to every employee).
6) Pension... funds must invest prudently, on a portfolio basis, but we know that some public funds feel pressured to make bets inconsistent with that legal mandate. That said, a diversified portfolio is unlikely to suffer much from events like these.
https://gizmodo.com/how-does-the-gamestop-squeeze-end-18461628477) I don't know how other people's 401ks work, but I don't think fidelity or vanguard are hedge funds and I can pick from a whole list of different investment options...some way riskier than others.
most stocks are owned by a fraction of the population...a fraction that doesn't do shit but live off our labor. I'm not going to feel bad if some billionaire lost money by giving money to Melvin Capital in order to make more money from not working.
The ins and outs of the stock market aren't my expertise, but this is the way it looks to me. Please correct me if I missed something.