Re:Robinhood, Trading 212 and others go down amid AMC and Ga...
by nceqs3 on Wednesday January 27, 2021 @11:27AM
(#25930191)
You don't know if they shorted shares. Shorts are not disclosed on 13f's. Often times funds buy puts and short at the same time.
It sounds like they did short shares of gamestop. When the first article came out it said their puts had already expired. Gabe Plotkin called into CNBC this morning and said their "short had been covered" meaning that they did short shares.
Re:Robinhood, Trading 212 and others go down amid AMC and Ga...
by anewaccount2021 on Wednesday January 27, 2021 @04:06PM
(#25933943)
ftfy!
https://www.cnbc.com/2021/01/27/hedge-fund-targeted-by-reddi...
"Melvin Capital closed out its short position in GameStop on Tuesday afternoon after taking a huge loss, the hedge fund’s manager told CNBC’s Andrew Ross Sorkin."
Re:Robinhood, Trading 212 and others go down amid AMC and Ga...
by deeeeplearning on Wednesday January 27, 2021 @11:32AM
(#25930242)
Daddy Cohen just loaned them 3 Billion so they could stay solvent. Might want to check your math.
https://www.ft.com/content/8be64f49-7c90-4fae-8370-c5c5c96d8...
TLDR Melvin Capital is already down 3.75 Billion 3 weeks into 2021...
Re:Robinhood, Trading 212 and others go down amid AMC and Ga...
by mmastrac on Wednesday January 27, 2021 @11:40AM
(#25930323)
Kinda feels like Billions got this whole industry right.
Re:Robinhood, Trading 212 and others go down amid AMC and Ga...
by xtiansimon on Saturday January 30, 2021 @11:37AM
(#25970464)
I seen that show, and I enjoyed it--though, not because it offered insight into hedge funds or wall street. I enjoyed it because they dramatized wall street. one hopes a good drama will say something 'right' about suffering, triumph, betrayal, love, in the process all while putting likable and interesting actors in key roles. I agree; good show.
From the article in my previous comment:
>Even assuming the worst case scenario here (let’s assuming somehow the put value was $10 and they held until now and the put is worthless, the max loss is $54 million for a hedge fund with $20 billion AUM, for a max risk of about 0.27%), Melvin Capital is sleeping fine. Because they bought puts, and didn’t short shares directly, their max loss is capped (the premium they paid).