Wondering what happened with GameStop and why it matters? David shares the details behind what happened and what made it into such a big deal.
What just happened with GameStop, causing a wild week on Wall Street? Today on the podcast, David gives an explanation of what GameStop is, why its stocks soared, and what we can learn from the situation.
Do you know what GameStop is? The company essentially buys and sells video games in brick-and-mortar stores all over the country. At the beginning of January, its stock cost about $17. What happened from there?
Following a post on a Reddit board notifying others of a short stock on GameStop, masses of people bought up shares, driving up the price. By the end of January, the stocks were up to $514 a share! What happened to the hedge funds that sold the short? Who is responsible for the short squeeze? Who was hurt by the situation? How will government regulations be changed moving forward?
What other companies were shorted next? From Bed, Bath & Beyond to AMC, a number of other stocks were being shorted, but then platforms like Robinhood stopped allowing trades to happen. Why did that happen? Was it with malicious intent?
Remember, trading is not investing. You shouldn’t trade retirement money, only trade your fun money. Does David pick individual stocks? How does he approach the market? How does investing differ?
If you want to learn about true investing and saving for retirement, be sure to reach out to a financial advisor to create a financial plan and strategy.
“You buy shares of stock all the time, but you almost never sell short because it’s speculative trading, it’s really not investing. And it can be super high risk.”
– David Dickens
CONTACT US
OUR LOCATION
10975 Grandview Drive
Building 27, Suite 190
Overland Park, KS 66210
Get Directions
CONTACT US
OUR LOCATION
10975 Grandview Drive
Building 27, Suite 190
Overland Park, KS 66210
Get Directions
We are an independent financial services firm helping individuals create retirement strategies using a variety of investment and insurance products to custom suit their needs and objectives.
Advisory Services offered through CreativeOne Wealth, LLC an Investment Advisor.
Investing involves risk, including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values. None of the information contained on this website shall constitute an offer to sell or solicit any offer to buy a security or any insurance product.
Any references to protection benefits or steady and reliable income streams on this website refer only to fixed insurance products. They do not refer, in any way, to securities or investment advisory products. Annuity guarantees are backed by the financial strength and claims-paying ability of the issuing insurance company. Annuities are insurance products that may be subject to fees, surrender charges and holding periods which vary by insurance company. Annuities are not FDIC insured. Provided content is for overview and informational purposes only and is not intended and should not be relied upon as individualized tax, legal, fiduciary, or investment advice.
The information and opinions contained in any of the material requested from this website are provided by third parties and have been obtained from sources believed to be reliable, but accuracy and completeness cannot be guaranteed. They are given for informational purposes only and are not a solicitation to buy or sell any of the products mentioned. The information is not intended to be used as the sole basis for financial decisions, nor should it be construed as advice designed to meet the particular needs of an individual’s situation.