Wpis z mikrobloga

Matt Levine szkaluje w bloombergu inwestorów z Newconnecta. Jak tak można?

"Look, if someone on Twitter or Discord says that he is an expert day trader who has made millions trading penny stocks and will teach you his secrets, then I can tell you his secret. Here it is:

1. He buys penny stocks.
2. Then he goes on Twitter and Discord and tells you to buy them because they are so good and will go up.
3. You — and his other Twitter followers — buy them, which makes them go up.
4. He sells them to you at a profit.
5. Then you are stuck with them. They are not in fact good — they just went up because he told you to buy them — and you end up selling them at a loss.
6. He posts pictures of himself standing next to Ferraris, to validate his multimillionaire-day-trader status.
7. Other people see the Ferraris and want to get into the game.
8. He repeats this process.

In the fullness of time, the US Securities and Exchange Commission and federal prosecutors notice.
They go find his chats and emails and maybe surreptitiously record some of his private conversations.
In all of those chats he turns out to have said things like “I love doing crime” and “look at me doing all these crimes” and “this stuff I am doing is market manipulation, a crime” and “crime crime crime crime crime crime,” but with more swearing.
The prosecutors and SEC bring fraud charges.
In a sense, the complaints are very boring, because this is the most obvious sort of financial crime, and every case is exactly the same.
In another sense, the complaints are entertaining, because of the chats.
This is called a “pump-and-dump.” I don’t know why people keep falling for it? I guess the pictures of the Ferraris. Also a desire for investing to be easy, for it to be a trick that you can learn from some clever insiders on a Discord. If I tell you “buying stock is about allocating capital to productive businesses and sharing, over the long term, in the value they create for society,” and some guy standing next to a Ferrari on Twitter says “buying stocks is about interpreting mysterious signals that tell you THIS STOCK WILL GO UP 200% THIS AFTERNOON,” his theory sounds more fun, and it certainly sounds like it will make you more money more quickly than my theory. It will make him more money more quickly. Like, the guy is a successful day trader. It’s just that his secret is tricking you."

#gielda #inwestycje #newconnect
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