Fear is running high amid the worst stock sell-off in years. It's important for investors not to panic as they watch their portfolios take a hit.
"Despite a sea of red, retail investors stood firm and not only bought the dip but did so at a historic pace," JPMorgan said on Thursday.
Three retail investors shared with Business Insider what made them sell before the drop.
"With this much optimism, one must ask how much liquidity is left around to buy," Ned Davis Research said.
"Retail has to remember, things go up fast and they go down fast. Take your profits and don't be greedy," an investor from Michigan told BI.
"We have seen the creation of financial products that dig into the worst part of human psychology."
The JPMorgan Chase boss likened some private credit deals stamped by the rating agencies to shoddy mortgages.
Tech
2024-05-23T13:46:42Z
Nvidia announced a 10-for-1 stock split with the goal of making its $1,000 shares more accessible to employees and investors.
Many retail investors got in when the company was a cornerstone of PC gaming, but the rise of AI has supercharged returns for longtime bulls.
Individual investors are leaning into triple-leveraged ETFs more aggressively in recent weeks, as indexes smash records and meme stocks make a comeback.
Net purchases of equities by retail investors hit a year-to-date peak in February, but trading volumes are below trend compared to other recent rallies.
Bitcoin is seeing below-average trading volatility, and DataTrek Research says the flood of institutional interest may be dampening its price swings.
Retail investors face stiff competition from professionals, but some have won big on stocks like Apple and Tesla, Citadel's Ken Griffin said.
Trading platform Public will offer 88,970 shares in the "Shrek" music rights for $10 each.
Investors are looking for the next "juicy" trade in the AI-led tech rally, according to Vanda Research.
"Retail traders are officially back in the mix after a three-month lull," Vanda Research said in a recent note.
Media
2023-06-08T20:01:21Z
"Retail's uptick in buying can extend over the coming weeks and, in turn, support equity markets' grind higher," Vanda Research said.
Net inflows into stocks hit $1.48 billion from retail investors in one trading session. Vanda Research cited fear of missing out on AI shares.
"Our in-house US equity positioning shows retail investors remain on the sidelines despite the recent AI craze," said one research firm.
Robinhood this month will begin to offer trading in 43 stocks and ETFs from Sunday through Friday.