Robinhood, Interactive Brokers, and Webull Financial restricted trading on GameStop, AMC, and other “meme” stocks, apparently under pressure from the firms that clear their trades. In the words of a colleague, it seemed like the Empire ― a.k.a. the Wall Street Establishment — was striking back. The trading restrictions angered traders who decried not being able to buy and sell without warning and with only vague explanations from their brokers about “volatility.” And political leaders from Alexandria Ocasio-Cortez to Ted Cruz demanded to know why the brokers had blocked their customers, while hedge funds could still trade through their own desks. Discuss the following: Do you agree or disagree with restricted trading? How does this relate to sustainability in the marketplace?
Robinhood, Interactive Brokers, and Webull Financial restricted trading on GameStop, AMC, and other “meme” stocks, apparently under pressure from the firms that clear their trades. In the words of a colleague, it seemed like the Empire ― a.k.a. the Wall Street Establishment — was striking back. The trading restrictions angered traders who decried not being able to buy and sell without warning and with only vague explanations from their brokers about “volatility.” And political leaders from Alexandria Ocasio-Cortez to Ted Cruz demanded to know why the brokers had blocked their customers, while hedge funds could still trade through their own desks. Discuss the following: Do you agree or disagree with restricted trading? How does this relate to sustainability in the marketplace?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Robinhood, Interactive Brokers, and Webull Financial restricted trading on GameStop, AMC, and other “meme” stocks, apparently under pressure from the firms that clear their trades. In the words of a colleague, it seemed like the Empire ― a.k.a. the Wall Street Establishment — was striking back.
The trading restrictions angered traders who decried not being able to buy and sell without warning and with only vague explanations from their brokers about “volatility.” And political leaders from Alexandria Ocasio-Cortez to Ted Cruz demanded to know why the brokers had blocked their customers, while hedge funds could still trade through their own desks.
Discuss the following:
- Do you agree or disagree with restricted trading?
- How does this relate to sustainability in the marketplace?
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