What are stonks? The Einstein of Wall Street gives us advice
The people have the power and stonks are on the rise! So we tapped our Wall Street homie, Peter Tuchman a.k.a. The Einstein of Wall Street for guidance.
While this is just a stone’s throw in the ocean, the recent debacle between r/WallStBets Redditors and the hedge fund owners of Gamestop, AMC, and even Nokia proves interesting. Right?
Stonks talk with the Einstein of Wall Street
We – the 99% – the majority – took a firm stand and were able to cause a surge in companies’ stock values that were nearly extinct. Much like the Martin Shkreli saga where he price gauged life-saving AIDS medicine, Daraprim overnight we were able to do so in order to save some dying mediums.
Brick and mortar has become a dying medium in the COVID era.
Adapt or die when it comes to business. COVID-19 only accelerated this fact of entrepreneurship especially for companies such as Gamestop and AMC that were already trending downward when it comes to ease of access and preferred methods of consumption.
Wonderful Stonks Advice
Peter “Einstein of Wall Street” Tuchman made it clear that he has never owned a share in his life. He is merely the conduit for terrific counsel, educator, and celebrity face that helps young people navigate and analyze their brokerage decisions.
Three mini takeaways:
Don’t mortgage your parents crib to try and “get rich.”
The stock market is not a get rich quick scheme nor is it a gambling resource. Like anything worthwhile, it takes time and effort to truly learn the practical logistics required to become a successful trader.
“Punch the register when you’re up.”
Don’t hold on too long to a stock if you are starting to see it work out in your favor. This is where stocks are similar to gambling. It is always easier said than done but try and get out while the getting is good and accept those small gains rather than holding for the “big one” and committing to high risk in the long run.
Do not risk big bread if you do not have big racks.
Rule of thumb: if you can’t afford it 4x over then you shouldn’t be throwing it around.
Many people on Wall Street utilize their spending power incredibly and do not mind losing major coins because they have “old money” in the stash. Most of these dudes have white hair and their money got even more grays than they do.
“Money so old – it’s growing white hair.”
Lil Wayne – 3 Peat
New Sharks Smell Blood
Since March 2020 TD Ameritrade reported an 84% influx in retail accounts involved in trading.
This accounts for roughly 42 million new users in the ball game. It is an incredible time to be a trader and make a come up doing so. More people also symbolize a potential power shift in the structure.
The rich get richer…
That last take maybe slightly on the optimistic side. From the sounds of it, this entire rigmarole has really frustrated some majority leaders within the stock market. Nasdaq CEO has made it clear that they are going to nip this little meme stock uprising in the bud and quickly.
Einstein compared it to if a QB breaks his arm mid-game all of a sudden the affected team declares “No more passing.”
The stock market is a cut-throat industry and short sellers have made it abundantly clear that they will do everything they can to maintain their stronghold. (MSNBC)
Dave Portnoy gets an honorable mention
Dave Portnoy’s efforts to revitalize small business were not lost upon the two gentlemen within this IG Live conversation. His Barstool Sports fund is a noble endeavor and you can donate to it here.