Re:Wall Street was the real winner of the GameStop saga
by gruez on Monday February 07, 2022 @10:17AM
(#30245961)
>I also do believe that it a profitable endeavour with very little general advantages as it is right now.
the "advantage" here is that the true value of the company is reflected in the market, so that capital is allocated to the best companies rather than the most hyped ones.
>That is more parasitic than constructive
Can you explain how it's "parasitic"?
>Additionally creative destruction can also mean that I destroy the wealth of those that currently do profit from canceling companies prematurely
Isn't that what happens if someone thinks a stock will go down, shorts it, and gets it wrong?
the "advantage" here is that the true value of the company is reflected in the market, so that capital is allocated to the best companies rather than the most hyped ones.
>That is more parasitic than constructive
Can you explain how it's "parasitic"?
>Additionally creative destruction can also mean that I destroy the wealth of those that currently do profit from canceling companies prematurely
Isn't that what happens if someone thinks a stock will go down, shorts it, and gets it wrong?