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AMAs/2021-03-26-Dennis-Kelleher-AMA.md
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AMAs/2021-03-26-Dennis-Kelleher-AMA.md
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OFFICIAL AMA with Dennis Kelleher, President & CEO, Better Markets -- Fighter for Retail, Buy Side & Main St against Wall St/big finance
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=======================================================================================================================================
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| Author | Source | Twitter |
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| :-------------: |:-------------:|:-----:|
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| [u/WallSt4MainSt](https://www.reddit.com/user/WallSt4MainSt/) | [Reddit](https://www.reddit.com/r/GME/comments/mdt4vi/official_ama_with_dennis_kelleher_president_ceo/) | [Better Markets](https://twitter.com/BetterMarkets?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Eauthor) |
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---
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OC[Mod Announcement 🦍](https://www.reddit.com/r/GME/search?q=flair_name%3A%22Mod%20Announcement%20%F0%9F%A6%8D%22&restrict_sr=1)
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Hi everyone: I'm Dennis Kelleher, President and CEO of Better Markets. Some of you might know me from my recent testimony before the House Financial Services Committee on GameStop, Citadel Securities, and payment for order flow. Thanks to all of you who have cheered us on!
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I have almost two decades of experience in D.C., including as a senior staffer in the U.S Senate, and have seen firsthand how Wall Street is able to influence the policy-making progress. My colleagues and I at Better Markets work to fight back against Wall Street interests and promote common sense reforms that make our financial markets more transparent and fairer. Our goal is for Wall Street to serve and support Main Street, not be a threat to it. We also want finance to be a wealth generation system, not a wealth extraction mechanism. My bio is here <https://bettermarkets.com/dennis-kelleher> and visit our website at <https://bettermarkets.com/> for more info.
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******Thanks everyone! Fantastic questions, insights and observations. Been an honor to have the discussion. Please stay in touch with Better Markets via [www.bettermarkets.com](https://www.bettermarkets.com/), sign up for the Newsletter, follow on Twitter/FB, donate if you can and otherwise stay engaged. There's a lot of power here that has yet to be exercised to impact policy, the SEC and our markets!
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---
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Compilation of AMA with Dennis Kelleher(WallSt4MainSt), President & CEO, Better Markets
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=======================================================================================
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||||
| Author | Source |
|
||||
| :-------------: |:-------------:|
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||||
| [u/sam-nelson](https://www.reddit.com/user/sam-nelson/) | [Reddit](https://www.reddit.com/r/GME/comments/meawnr/compilation_of_ama_with_dennis/) |
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[News](https://www.reddit.com/r/GME/search?q=flair_name%3A%22News%22&restrict_sr=1)
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My fellow apes please show our love and appreciation for Mr. Dennis Kelleher for his outstanding work by going to [www.bettermarkets.com](https://www.bettermarkets.com/), signing up for their newsletter, and following them on FB, Twitter, and youtube. We need more people like Mr. Dennis to make this world a nice place to live.
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Please see the below screenshots of Mr. Dennis AMA. Thank you Mr. Dennis Kelleher for your valuable time.
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[](https://preview.redd.it/u6aqthlnpmp61.png?width=631&format=png&auto=webp&s=82459712bd57e3c5e4d8ba701fa9c73d196c9bb3)
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[](https://preview.redd.it/33tomqtwpmp61.png?width=633&format=png&auto=webp&s=2e4e2e4154b57781690571e15fb094b7682a809b)
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[](https://preview.redd.it/g6g6x15ypmp61.png?width=630&format=png&auto=webp&s=3c6ef940be499435affb3646d668b1ce4af9a149)
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[](https://preview.redd.it/9stm0nnypmp61.png?width=630&format=png&auto=webp&s=36d05cdbe8b98fc671204c77bcff18bac0fccea1)
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[](https://preview.redd.it/mdysubazpmp61.png?width=632&format=png&auto=webp&s=94ecabd3820a734eaf52757b7e047ff9087d5536)
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[](https://preview.redd.it/5r9pm7tzpmp61.png?width=631&format=png&auto=webp&s=75db0528561f8e2a02a334f3790067bd319d0d1a)
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[](https://preview.redd.it/b4cwoch0qmp61.png?width=630&format=png&auto=webp&s=d33d65dc351b6a6588cdde2d6294547c97266d2b)
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[](https://preview.redd.it/mqu90uw0qmp61.png?width=630&format=png&auto=webp&s=c46ce460738ce3371ee4b569e9019ce5d20e831d)
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[](https://preview.redd.it/ttte6of1qmp61.png?width=636&format=png&auto=webp&s=e85acc26f38df41377d9820f94696fe11e654649)
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[](https://preview.redd.it/6hrsh7w1qmp61.png?width=636&format=png&auto=webp&s=9c8899faa429920ac0bab751d40d24eb58d566f7)
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[](https://preview.redd.it/n7tet7d2qmp61.png?width=629&format=png&auto=webp&s=a678d45cb1b87aaa796fe82137cf570131169d71)
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[](https://preview.redd.it/jndzvbm3qmp61.png?width=629&format=png&auto=webp&s=02d2c66a8878fcfff389f597e2b3eac6dd700974)
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[](https://preview.redd.it/0bti3vj6qmp61.png?width=627&format=png&auto=webp&s=01fd4bc8bc21d2240dee05113a6d30e8e8a7203e)
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[](https://preview.redd.it/bh1fwe47qmp61.png?width=629&format=png&auto=webp&s=9b6ceba8b4bf49610e1213d36abd453c0dc4cf70)
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[](https://preview.redd.it/4a4wqsj7qmp61.png?width=631&format=png&auto=webp&s=7ec8ab1b1361bb55de9d3ca52cc10be9cff793b2)
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[](https://preview.redd.it/pycz6j18qmp61.png?width=631&format=png&auto=webp&s=ee3d512a9f76475e40d5a2ee57e7d615c541efe2)
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[](https://preview.redd.it/b3ddyiw8qmp61.png?width=629&format=png&auto=webp&s=8cee134ff25f7dcdd2de9605ba1c32d6a1f10691)
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[](https://preview.redd.it/6vebevd9qmp61.png?width=633&format=png&auto=webp&s=01bfadd8f7c5608b09fd7738639bbba07cfb7c8a)
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[](https://preview.redd.it/xb8qrmdeqmp61.png?width=632&format=png&auto=webp&s=851c6d030e47ca2e702b11abf5e8ea4b663fef74)
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[](https://preview.redd.it/8fpvi57fqmp61.png?width=632&format=png&auto=webp&s=6e2a0257e96a4aac596573044591548a429cf3f3)
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34
AMAs/2021-04-02-Alexis-Goldstein-AMA.md
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AMAs/2021-04-02-Alexis-Goldstein-AMA.md
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OFFICIAL AMA - Alexis Goldstein - Friday, April 2 @ 11 a.m. EST
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===============================================================
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| Author | Source | Twitter |
|
||||
| :-------------: |:-------------:|:-----:|
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| [u/dontfightthevol](https://www.reddit.com/user/dontfightthevol/) | [Reddit](https://www.reddit.com/r/GME/comments/mhfxbm/official_ama_alexis_goldstein_friday_april_2_11/) | [Alexis Goldstein](https://twitter.com/alexisgoldstein?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Eauthor) |
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---
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OC[Mod Announcement 🦍](https://www.reddit.com/r/GME/search?q=flair_name%3A%22Mod%20Announcement%20%F0%9F%A6%8D%22&restrict_sr=1)
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Hi all, Alexis Goldstein here. I'll be doing an AMA this Friday April 2nd at 11am EST.
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EDIT: Hi everyone, thanks so much for hosting me here. I have to run (1pm ET). Thanks again for the discussion today.
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A little bit about me: I currently work advocating for a safer and fairer economy. But I started my career on Wall Street. I worked as a programmer at Morgan Stanley in electronic trading, and as a business analyst at Merrill Lynch and Deutsche Bank in equity derivatives.
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- I recently testified before the House Financial Services Committee in their second hearing about GameStop. You can find my [written testimony here.](https://financialservices.house.gov/uploadedfiles/hhrg-117-ba00-wstate-goldsteina-20210317.pdf)
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- I also discussed the GameStop situation on Twitch with AOC back in February. Here is a [clip of our discussion](https://boingboing.net/2021/01/29/aoc-learns-how-robinhood-makes-its-money.html).
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- Here are two recent appearances of mine on CNBC and BBC, both discussing GameStop:
|
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||||
- [Questions for Reform Following the GameStop Hearing - SquawkBox (CNBC)](https://www.youtube.com/watch?v=jlCuvXg4vIg)
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|
||||
- [Why GameStop is Goliath vs Goliath (BBC World News)](https://www.youtube.com/watch?v=sa7_KVfMuKo)
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I write a newsletter about the financial markets called [Markets Weekly](https://marketsweekly.ghost.io/) 🦄. There, I've written about [GameStop](https://marketsweekly.ghost.io/what-happened-with-gamestop/), over-concentration of [Dogecoin](https://marketsweekly.ghost.io/dogecoin-elon-musk-and-questions-on-the-doge-whale/), and [Archegos](https://marketsweekly.ghost.io/archegos/).
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Finally, I wrote a bit about the broader implications of GameStop in [an oped for the NYTimes](https://www.nytimes.com/2021/02/01/opinion/gamestop-biden-wall-street-reddit.html), where I argued that we can't beat Wall Street at its own zero-sum game. But we can change the rules.
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I believe that truly democratizing the economy means pouring national resources into lifting up Americans and rebuilding public institutions. That looks like canceling federal student debt, which President Biden can through executive action, would grow the economy, relieve the [disproportionate debt burdens](https://ourfinancialsecurity.org/2021/01/sign-on-letter-over-325-orgs-call-on-president-elect-biden-to-cancel-federal-student-debt-on-day-one-using-executive-action/) carried by Black and brown borrowers. It could also mean examining policy changes like a modest wealth tax, a financial transaction tax, and creating programs like [baby bonds](https://www.urban.org/urban-wire/how-baby-bonds-could-help-americans-start-adulthood-strong-and-narrow-racial-wealth-gap) to fight the racial wealth gap. Finally, I believe that regulators need to make sure that nonbanks like asset managers and hedge funds aren't taking advantage of regulatory blind spots to make themselves too big, or too interconnected to fail.
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Thanks for hosting me! 🦄
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OFFICIAL AMA - Dave Lauer - May 5, 2021 @ 3:00 p.m. EDT
|
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=======================================================
|
||||
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||||
| Author | Source | Twitter |
|
||||
| :-------------: |:-------------:|:-----:|
|
||||
| [r/Superstonk](https://www.reddit.com/r/Superstonk/) | [YouTube](https://www.youtube.com/watch?v=AYct0XX0uTU) | [Dave Lauer](https://twitter.com/dlauer?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Eauthor) |
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||||
---
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||||
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[AMA 🏆](https://www.reddit.com/r/Superstonk/search?q=flair_name%3A%22AMA%20%F0%9F%8F%86%22&restrict_sr=1)
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This is the official AMA (Ask Me Anything) post for Dave Lauer, who will be joining [u/jsmar18](https://www.reddit.com/u/jsmar18/) on [Superstonk Live](https://www.youtube.com/channel/UCI4EET9NJPWxUuXGlG6fxPA) for a one-on-one discussion, with questions influenced by and taken directly from this post.
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Please make comments on this post directly, as we will be referencing this exclusively.
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||||
---
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Please visit the [Superstonk Youtube Channel](https://www.youtube.com/channel/UCI4EET9NJPWxUuXGlG6fxPA) and subscribe and enable notifications so that you are prepared for the [live stream on May 5, 2021 @ 3:00 p.m. EDT](https://youtu.be/AYct0XX0uTU)
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A message from our guest:
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[](https://preview.redd.it/z8415vsi5uw61.jpg?width=400&format=pjpg&auto=webp&s=6c1669e7672616894f31616fb66703ef264820f8)
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Dave Lauer
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> Hi, I'm Dave Lauer. I built low latency trading systems, and then worked as a high-frequency trader at Citadel and then Allston Trading. I left about a year after the Flash Crash (2011), disturbed at the impact of HFT on markets. I have since testified before the US Senate, worked with the SEC and CFTC, helped institutional investors understand market structure, represented them in DC, and quantitatively analyzed their brokers' order routing algorithms. I worked with IEX early on, and sit on the board of Aequitas NEO in Canada. I also sit on FINRA's Market Regulation Committee. The last 2 years I've focused on novel applications of AI, both in finance and beyond, and am also on the founding editorial board of the Journal of AI and Ethics.\
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> I'm talking to the mods about doing an AMA and am looking forward to it! I've seen some questions about the effects that limit orders might have on stock price and stock loan mechanics, so I posted some thoughts here: <https://reddit.com/r/Superstonk/comments/mzpyfq/do_gme_limit_orders_impact_the_stock_price_not/>\
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> TLDR; there's little to no impact on the stock price from limits orders that are far from the NBBO. I'm not sure about the stock loan question, but I doubt it matters.
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Note that Mr. Lauer will obviously not be able to answer any sensitive questions directly concerning any of his previous employers or their practices and strategies.
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---
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This AMA Post will remain active until the live stream begins, at which point this post will be LOCKED. Please note that our AMA guests have limited time, and cannot possibly answer all questions, so we encourage you to put some effort into your questions so that they can be upvoted by your fellow apes for visibility.
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---
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YOUTUBE INFO
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Please note... This channel is not monetized, nor will it ever be (screenshot this and hold us accountable), and is strictly for education and discussion as it relates to [r/Superstonk](https://www.reddit.com/r/Superstonk/) topics and the interests of the community. The idea was approved by the mod team, and the channel was created and is administered by [u/redchessqueen99](https://www.reddit.com/u/redchessqueen99/). The stream itself will be handled through a third party service with many live-editing features (omitted for security's sake) that allows a stream through Youtube.
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Finally, we made the choice to create this platform because AMA guests seem to prefer the live stream method, since they don't always have a reliable platform to stream from. This allows us to offer them a choice of platform, and also a means of discussion with our members LIVE, that ultimately will cater to the interests of [r/Superstonk](https://www.reddit.com/r/Superstonk/) and this community of diamond handed apes.
|
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46
AMAs/Dave-Lauer-AMA/2021-05-05-Dave-Lauer-AMA-Follow-Up.md
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AMAs/Dave-Lauer-AMA/2021-05-05-Dave-Lauer-AMA-Follow-Up.md
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AMA Follow-Up
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=============
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| Author | Source |
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| :-------------: |:-------------:|
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| [u/dlauer](https://www.reddit.com/user/dlauer/) | [Reddit](https://www.reddit.com/r/Superstonk/comments/n5qp96/ama_followup/) |
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|
||||
---
|
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|
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[Education 👨🏫 | Data 🔢](https://www.reddit.com/r/Superstonk/search?q=flair_name%3A%22Education%20%F0%9F%91%A8%E2%80%8D%F0%9F%8F%AB%20%7C%20Data%20%F0%9F%94%A2%22&restrict_sr=1)
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Thanks again for having me do the AMA, I enjoyed it! I'd be happy to continue to answer some questions whenever I can. I've gotten a couple of requests for the slides, so I'll post them here with some commentary, along with some other slides I didn't have the chance to show.
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First, an illustration of how the NBBO is constructed:
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[](https://preview.redd.it/4ivakg899dx61.png?width=723&format=png&auto=webp&s=21881e9826d8b43cb20f9d50ba1c1b4c859a12aa)
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I mentioned on the AMA that all trades must take place within the NBBO, regardless of whether they are on-exchange, on dark pools or within internalization systems. I should clarify that this is only true during RTH (Regular Trading Hours) - 9:30am - 4pm ET. Outside of those hours, there's no official NBBO and trades can happen at any price. If you see crazy prices during pre-market or AH trading sessions, that's why. Please NEVER submit a market order outside of RTH - you should generally never use market orders anyway, you should always put a limit price on your order, even if it's a marketable limit order.
|
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Here's the order type distribution slide I showed (from 2015):
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[](https://preview.redd.it/p5ai2n8q9dx61.png?width=741&format=png&auto=webp&s=d48742ebb390b3d1e5dd291e6b3d6b738687f454)
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|
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I didn't get to show this exchange fee schedule slide, but it's CRAZY. Goes to show you how complex markets are when you combine exchange fee tiers with complex order types, geographic distribution of datacenters, and the conflicts-of-interest brokers face when routing orders:
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[](https://preview.redd.it/i2scsz7w9dx61.png?width=1213&format=png&auto=webp&s=ae52b06d14d9f79f4dfec412c0692c542c77fbae)
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|
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Here's the diagram I showed for market complexity:
|
||||
|
||||
[](https://preview.redd.it/i5cr6j5z9dx61.png?width=754&format=png&auto=webp&s=1c04f06799d460e8f5f4113049439531f5b30db0)
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|
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Here are the two slides showing off-exchange trading distribution for GME. These numbers come straight from the [FINRA OTC Transparency website](https://otctransparency.finra.org/otctransparency/AtsIssueData).
|
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|
||||
[](https://preview.redd.it/2prrwr62adx61.png?width=1229&format=png&auto=webp&s=a5875ea501e14f8164eb5e2abd8b11b7083ab1c7)
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||||
|
||||
[](https://preview.redd.it/pk2pf0s6adx61.png?width=1219&format=png&auto=webp&s=07170a65cf24b500551dda6d3b1218bc02a9195b)
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|
||||
Here are a couple of HFT slides, the second one I didn't have time to show:
|
||||
|
||||
[](https://preview.redd.it/l4kp7zbaadx61.png?width=1246&format=png&auto=webp&s=20a5ab052ea3105320f4e8c75ee28e64e9344a17)
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||||
|
||||
[](https://preview.redd.it/j055t5kcadx61.png?width=1091&format=png&auto=webp&s=aad07f84fe679c3576114513d5afa0d0c5f00bd5)
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||||
I believe there are many beneficial high-speed trading systems (in green) and many that are predatory or rely on structural arbitrage (e.g., arbitrage that does not get "arb'ed" away with competition).
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||||
I'm glad the AMA was interesting, and like I said I'll try to answer as many questions as I can. I think it's great that there's interest in getting educated on these issues, and hopefully the time is right for some structural change over the next couple of years.
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50
AMAs/Dave-Lauer-AMA/2021-05-05-TLDR-of-Dave-Lauer-AMA.md
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TLDR of Dave Lauer AMA
|
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======================
|
||||
|
||||
| Author | Source |
|
||||
| :-------------: |:-------------:|
|
||||
| [u/neoquant](https://www.reddit.com/user/neoquant/) | [Reddit](https://www.reddit.com/r/Superstonk/comments/n5pfyr/tldr_of_dave_lauer_ama/) |
|
||||
|
||||
---
|
||||
|
||||
[Discussion 🦍](https://www.reddit.com/r/Superstonk/search?q=flair_name%3A%22Discussion%20%F0%9F%A6%8D%22&restrict_sr=1)
|
||||
|
||||
Almost everything people discovered here was right. Shocking
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|
||||
My main outtakes:
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||||
|
||||
- market is manipulated (short ladders and spoofing/layering are real) - Dave actually analyzed historical deep market data himself
|
||||
|
||||
- last two FINRA meetings have been „interesting"
|
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|
||||
- our orders never actually reach the real exchange, internalization of retail orders is actually terrible for the market, especially in combination with PFOF and frontrunning - orders are only send to exchanges as the last resort as they are the most expensive - basically called toxic exhaust (LMAO)
|
||||
|
||||
- more insights needed here in order to understand how OTC (internalizers) and Darkpools (called also ATS, alternate trading system) are actually preventing price discovery on the actual exchanges - Dave is not sure how price suppression and „walls at 180 bucks" would work involving Darkpools. Needs more investigation and inputs here. Still, you cannot trade and quote outside NBBO as this would be illegal (rule 611). But actually for layering you do not really need Darkpools as this needs to happen on the open market
|
||||
|
||||
- GME OTC average trade size dropped from avg. 250 shares in late 2020 to about 40 shares since Jan 2021 for Citadel and Virtu - same shares traded back and forth or just retail piling in? - make your own conclusions
|
||||
|
||||
- price discovery mechanisms are completely broken in todays markets aka price does not matter and is artificial
|
||||
|
||||
- shares are rehypothicated multiple times and this is real
|
||||
|
||||
- Dave is looking into mechanisms how the FTD figures can be manipulated and mentioned specifically the different option strategies discussed in the subreddit - so yes, FTD official figures are just garbage and only tip of the iceberg
|
||||
|
||||
- as many as 90-99% of all orders in the market are possibly from HFT firms, when they stop quoting we see gap ups and gap downs - these gaps are sometimes just illiquidity contagions (aka flash crashes) and not actual manipulation
|
||||
|
||||
- due to increased HFT role and very low latencies, the market became more fragile as the HFT strategies incentivized by speed lead to self similarity
|
||||
|
||||
- regulators are not blind, just very very slow (one of his proposed changes took 7 years to implement...) - regulators are struggling to keep up with complexity and amount of data
|
||||
|
||||
- most fines are unfortunately just „slaps on the wrist" and „corruption inherent in the system and the revolving door", „fines are nothing compared to the damage caused" and „seen just as cost of doing business" - so basically „trying to enforce best execution is like trying to nail jello to a wall"
|
||||
|
||||
- Last but not least: we should voice the issues to the SEC, Representatives etc. The more attention and pressure there is on the topics and concerns, the more likely people will see meaningful change implemented
|
||||
|
||||
Thanks Dave! Amen apes. Hodl. 🚀
|
||||
|
||||
Please correct me or add stuff if I am wrong on any point.
|
||||
|
||||
Not a financial advice. Only for entertainment purposes 🤡
|
||||
|
||||
PS: <https://youtu.be/AYct0XX0uTU>
|
||||
|
||||
TLDR: 👊🍦🚀
|
||||
@ -0,0 +1,42 @@
|
||||
OFFICIAL AMA - Justin Dopierala, Founder and President of DOMO Capital Management LLC - 4/20 @ 4:20 p.m. CT
|
||||
===========================================================================================================
|
||||
|
||||
| Author | Source | Twitter |
|
||||
| :-------------: |:-------------:|:-----:|
|
||||
| [r/SuperStonk](https://www.reddit.com/r/Superstonk/) | [Reddit](https://www.reddit.com/r/Superstonk/comments/mtnian/official_ama_justin_dopierala_founder_and/) | [DOMO Capital](https://twitter.com/DOMOCAPITAL?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Eauthor) |
|
||||
|
||||
---
|
||||
|
||||
**[YouTube Stream](https://www.youtube.com/watch?v=lSSajuW0kQI)**
|
||||
|
||||
OC[AMA 🏆](https://www.reddit.com/r/Superstonk/search?q=flair_name%3A%22AMA%20%F0%9F%8F%86%22&restrict_sr=1)
|
||||
|
||||
This is the Official AMA (Ask Me Anything) for Justin Dopierala, the Founder and President of DOMO Capital Management LLC. Please leave comments and questions below, and the sooner the better so Justin can prepare some great answers. This post will remain active until April 20 @ 4:20 p.m. CT, at which point it will be locked and Justin will appear on Youtube livestream via the link below to answer questions live.
|
||||
|
||||
He also would like you all to know that he accepts the hardball questions, but remember to be honest and ask earnest questions, as to be respectful of Justin's time. Thank you Justin!!!
|
||||
|
||||
A message from Justin Dopierala:
|
||||
|
||||
Hey everyone -- really looking forward to the AMA on 4/20 at 4:20 PM Central Time. DOMO Capital is a state-registered investment advisor that manages money for clients identically through separately managed accounts. Our YouTube channel has a [great video that gives a brief 5 minute introduction on our company](https://www.youtube.com/channel/UC3rCaBlsLlWJagcpbsais4w) that might answer some of the questions you would have. You can read more about our [philosophy, discipline, and process on our website](https://www.domocapital.com/philosophy.html) where you can also view our [Fact Sheet](https://www.domocapital.com/factsheet.html).
|
||||
|
||||
A lot of you are probably aware of DOMO Capital from our Twitter posts, but we're also one of the few "OGs" when it comes to GameStop. In fact, we are currently shooting footage, at this very moment, for what will be the one and only legitimate GameStop documentary which is being produced by Jonah Tulis and Submarine Entertainment for one of the top distributors in the world ([you can read more about it here](https://deadline.com/2021/02/jonah-tulis-gamestop-documentary-submarine-1234687991/)). I am the Midwestern father of two that is mentioned in the write-up.
|
||||
|
||||
I started investing clients of DOMO Capital into GameStop back in 2018. As time went on, I started to get frustrated with bearish article after bearish article framing GameStop in a way that was completely inaccurate. Therefore, I decided that action needed to be taken, and I started writing about GameStop in May of 2019. I ended up writing [6 articles on GameStop through October of 2020](https://seekingalpha.com/author/justin-dopierala#regular_articles&ticker=gme). It is true that we sold our last shares in January of 2021 in the $40's, but we were also buying shares of GME for our clients in the mid $2's. I've had the pleasure of having many conversations with many of the main people involved: Ryan Cohen, Senvest, Kurt Wolf, George Sherman, Jim Bell, etc.
|
||||
|
||||
[Here is a link to my bio](https://www.domocapital.com/team.html) - I am by no means an expert on the intricacies of what goes on behind the scenes in the market from a trading standpoint. I will answer your questions in this regard as best I can, but don't expect any great insights from me on fail to delivers or anything like that. It is likely beyond my comprehension!
|
||||
|
||||
I am looking forward to the AMA and am truly happy to answer any questions you have. In no way should any of my comments be construed as financial advice as this AMA is for educational purposes only.
|
||||
|
||||
DOMO Capital is known for going against the grain and doing things a little differently and this AMA will be no different. Instead of responding to your comments with comments -- we are going to host a live stream from our YouTube channel and answer the questions on video. Chat on the stream will be turned off so that we can focus solely on the questions that are being asked of us on Reddit.
|
||||
|
||||
[JOIN THE LIVESTREAM HERE](https://youtu.be/lSSajuW0kQI) - starts April 20 @ 4:20 p.m. CT
|
||||
|
||||
---
|
||||
|
||||
DISCLAIMER:
|
||||
|
||||
DOMO Capital Management, LLC ("DOMO") is a state-registered investment adviser in Wisconsin and Michigan. Justin R. Dopierala is the President and Founder, and a registered investment adviser representative, of DOMO. Additional information about DOMO is disclosed in our Form ADV, which is available upon request. All information contained herein is for general informational purposes only and does not constitute a solicitation or an offer to provide investment advisory services in any jurisdiction. The investment strategy discussed herein may not be suitable for everyone. Investors need to review an investment strategy for their own particular situation before making any investment decision. We believe the information obtained from any third-party resources to be reliable, but we do not guarantee its accuracy, timeliness or completeness. The opinions, estimates, projections, comments on financial market trends and other information contained herein constitute our judgment and are as of the date of the material, are subject to change without notice at any time in reaction to shifting market conditions and other factors and should not be construed as personalized investment advice. DOMO has no obligation to provide any updates or changes to such information.
|
||||
|
||||
Past performance is not indicative of future results. The opinions presented cannot be viewed as an indicator of future performance. It should not be assumed that investments made in the future will be profitable or will equal the performance represented herein. More recent returns may be more or less than those shown. Investing entails risk, including possible loss of principal. DOMO does not guarantee any minimum level of investment performance or the success of any investment strategy. The DOMO Concentrated All Cap Value Composite (the "DOMO Composite") includes all accounts managed by DOMO employing the Concentrated All Cap Value strategy. A complete description of the strategy and its attendant risks is included in our Form ADV Part 2A brochure. The inception date of the DOMO Composite was October 8, 2008. Mr. Dopierala has served as a portfolio manager for the strategy since inception. The benchmark index reflected herein, the S&P 500 Total Return Index (the "S&P 500 TR Index"), is a capitalization-weighted index of 500 stocks from a broad range of industries. The component stocks are weighted according to the total market value of their outstanding shares. Index returns are provided to represent the investment environment existing during the time periods shown. Indexes are unmanaged and do not include management fees, transaction costs and other expenses that are incurred in connection with a managed account. An index will include a different degree of investment in individual securities, industries or sectors from DOMO's investment strategy. Indexes do not predict future results. The benchmark index is shown for comparative purposes only. Investors cannot invest directly in an index. The returns for the DOMO Composite and the S&P 500 TR Index include reinvestment of dividends and other earnings. Returns for periods longer than one year are annualized unless otherwise noted. Cumulative returns are the aggregate amount that an investment has gained or lost, independent of the period of time involved, presented as a percentage.
|
||||
|
||||
Gross performance figures do not reflect the deduction of management fees and custodial fees, but do reflect all trading expenses and all expenses charged by underlying funds and investment vehicles. Client returns will be reduced by management fees and other expenses incurred in connection with a managed account. Inclusion of references to individual securities is intended for illustrative purposes only. References to specific securities should not be viewed as representative of an entire portfolio, nor should the performance of any particular security be viewed as representative of the performance experienced by any other security or portfolio. It should not be assumed that future recommendations will be profitable or will equal the performance of securities included herein.
|
||||
@ -0,0 +1,73 @@
|
||||
# Summary of Almost the Entire Justin Dopierala AMA
|
||||
|
||||
| Author | Source |
|
||||
| :----: | :----: |
|
||||
| [u/Hambonesrevenge](https://www.reddit.com/user/Hambonesrevenge/) comment by [u/Soluna7827](https://www.reddit.com/user/Soluna7827/)| [Reddit](https://www.reddit.com/r/Superstonk/comments/mvheh5/can_we_show_some_love_for_this_guy_he_literally/gvclvdn/) |
|
||||
|
||||
---
|
||||
|
||||
I watched the first 4.5 hours of the stream. For those who have no yet watched, I'll try and post what I have gleaned from the stream. This is from memory so some things may be incorrect. I'm probably missing things since I can't remember EVERYTHING from the mere 4.5 hours I have watched. Incoming wall of text:
|
||||
|
||||
Origins: DOMO was established in 2007 with Mr. Justin Dopierala and one of his investment professors. DOMO is a combination of DO(Dopierala) and MO (Mo-something haha). Justin bought out his partner though he is still a client of DOMO. Justin started investing money from friends, family, and his alma mater. His reputation increased and he took on clients to the point of where he is today.
|
||||
|
||||
- He claims that he invests his money exactly how he invests his client. His portfolio is similar to that of his clients. He claims that most of his money/assets are invested.
|
||||
|
||||
- DOMO is run by 2 people including himself. He is considering adding on advisors should the need arise following the events of GME.
|
||||
|
||||
- He states that he initially bought in GME at $2 and sold at $40. He states that he does have a fiduciary duty to his clients. This would mean he has to put his clients' interests above his own.
|
||||
|
||||
- DOMO is NOT a hedge fund. He states he doesn't know enough rich people to be a hedge fund anyway.
|
||||
|
||||
- He states he finds it easier to stay true to retail investors since he's not in a big city and doesn't have to worry about all the bougie things that go on in big cities - like fancy dinners where Wall Street big wigs talk about non-public info.
|
||||
|
||||
- He states that he hasn't really bought back into GME due to the type of invest his company is looking for. With GME being volatile, he is looking for something under valued and can be a safe bet profit lock in. This is not to be misconstrued as GME not being profitable but just not quite the fit for his company and his clients.
|
||||
|
||||
- He believes some hedgies and GME has been squeezed in January. He neither confirms nor denies the possibility of a second GME squeeze. He points out that other stocks have had multiple squeezes and that GME could potentially be squeezed a second time but he doesn't know. Please note he is conservative in this wording and makes no claims.
|
||||
|
||||
- He has spoken to Ryan Cohen in the past and thinks his investor relations department needs to step up haha.
|
||||
|
||||
- He thinks Game Stop is smart for being quiet in these times. This means Game Stop is not telegraphing its moves. Can't read into things if there's nothing to read.
|
||||
|
||||
- He is a religious person who believes in God and his favorite Bible verse is John 3:16, which is what he posted on Easter.
|
||||
|
||||
- He does NOT let his religious views get in the way of his business practice. If you are kind, polite, and not an asshole, he doesn't care. Be respectful to him and his company and he will be respectful to you.
|
||||
|
||||
- He doesn't smoke weed though he doesn't care or judge people who do.
|
||||
|
||||
- You don't need to prove you own GME to invest the lower amount of $100,000. He says "if you know, you know." Meaning if you know about the lower entry price, you good.
|
||||
|
||||
- He is looking to expanding his clients to Canada but there are tax and logistical issues, as each province needs a registration or something like that.
|
||||
|
||||
- He is not currently looking to expand to Europe. He states that it is less beneficial to clients due to the amount of taxes they would face. If a client could make more money investing elsewhere and not having a large amount lost to taxes if they were to invest with him, he would rather his that client not invest with him. (I will note, this is consistent with claims to fiduciary duty. He could gladly take his cut while you're getting taxed but he points out that you'd probably make more by avoiding the tax rates that it would cost to invest with him.)
|
||||
|
||||
- He trades stocks. He does not short or mess with options.
|
||||
|
||||
- He cautions when doing DD about institutional ownership, to be careful as the data is usually old data. Positions can change so be cautious with using sources for institutional ownership.
|
||||
|
||||
- He doesn't claim to know everything about GME. He does believe in Ryan Cohen and says he's extremely smart. He states that RC knows a lot about the knitty gritty details of Game Stop. RC doesn't manage from an ivory tower but gets in the "weeds" - aka he looks at the fine details.
|
||||
|
||||
- He doesn't know what kind of mergers Game Stop could attempt. He does say that if Game Stop took a type of gambling approach a la Fantasy Football but for E-sports, Justin thinks that could be profitable. To clarify, for tourneys or what not, people could bet on who they think could win. Game Stop could potentially be a HUB to provide analytics and data on each individual pro player so that people betting could check stats and make informed bets.
|
||||
|
||||
- His favorite crayon is "blueberry." He even showed it on stream. As a fan of the color blue, more specifically indigo blue, I respect this.
|
||||
|
||||
- He doesn't mind pineapple on pizza but it's not something he would order himself. He likes cheese, pepperoni, and fresh sliced mushrooms.
|
||||
|
||||
- When he cooks, he likes to grill. Grilled chicken + salad, grilled pork + salad, grilled meat + salad.
|
||||
|
||||
- He has never received any threats by people or MSM. He also thinks MSM is bullshit since they tend to have their own agenda.
|
||||
|
||||
- He is in the process of being featured in a GME documentary by Submarine Studios. He wants the real story of GME being told and not some agenda-spewing BS that MSM or Hulu would make.
|
||||
|
||||
- He doesn't really think the economy is gonna crash.
|
||||
|
||||
My personal opinion of the 4.5 hours I have watched: Justin Dopierala (JD) comes off genuine to me. He is not afraid to admit when he doesn't know something. He is unabashed in his views and tells it like it is. He address questions that asked/stated he was going off the hype to build reputation with the community to snag in investors. He denies this and says his fiduciary duties led him to do what he had to do. People have consistently asked "why should we trust you after what he have seen the hedge funds do" to which he stated that he isn't a hedge fund, he stays true to himself, and it's up to you make that decision on whether to trust or not. Nothing he does or say can convince you because if you're biased and non-trusting, is anything he says or does really going to convince you?
|
||||
|
||||
He appears genuine and I for one would considering investing ~~if~~ when I have the money. I may invest in other fiduciaries as well. And that's another thing. He claims to be a fiduciary and adhere to fiduciary duties. Regarding this, I see little conflict of interest IF his portfolio is exactly that of his clients. Making money off commission is pretty much non-existent if there's only 2 people at the company. I can't see how he would invest everyone in a stock and make commission off of it if he's the only employee to begin with. He does have his Series 63 license which is consistent with fiduciaries. DOMO as has an ADV filing which MAY also consistent with fiduciary filings though I'm not sure if this ENSURES his role as a fiduciary. I don't see a Series 7 license but I'd just probably have to ask him to know what licenses/certificates he has, should my search be inadequate.
|
||||
|
||||
Lastly, when asked what allowed him to call out MSM for their bullshit while others have cowered in fear, he said "I just don't give a shit." I liked that. I liked that a lot. Stick to you guns. He did. He also streamed his AMA for 6 hours so that says something about commitment. He answered live. Nothing to hide. No "I wrote an article about it. Read it here!" type shit.
|
||||
|
||||
Edit: Corrected Dopierala's favorite Bible verse from Joseph 3:16 to John 3:16. Credit to z-eldapin for the correction.
|
||||
|
||||
Edit 2: Thanks for the award! I don't post all that much so it's unusual for me to see my post in a red box haha. Now if I could only get in some other red boxes IRL haha.
|
||||
|
||||
Edit 3: Changed Dopierala's topping from "fresh sliced mustards" to "fresh sliced mushrooms." Credit Solid_steve89 for this correction. I was confused to as why someone would put a mustard plant on a pizza haha. Who am I to question someone's choice of toppings haha. Mushrooms makes a lot sense though haha.
|
||||
@ -0,0 +1,46 @@
|
||||
OFFICIAL AMA - Dr. Susanne Trimbath, PhD - Thursday, April 29 @ 3:00 p.m. EDT
|
||||
=============================================================================
|
||||
|
||||
| Author | Source | Twitter |
|
||||
| :-------------: |:-------------:|:-----:|
|
||||
| [r/Superstonk](https://www.reddit.com/r/Superstonk/) | [Reddit](https://www.reddit.com/r/Superstonk/comments/mzknu6/official_ama_dr_susanne_trimbath_phd_thursday/) | [Susanne Trimbath PhD](https://twitter.com/SusanneTrimbath) |
|
||||
|
||||
---
|
||||
|
||||
**[YouTube Stream](https://www.youtube.com/watch?v=fGVY2Kco8ng)**
|
||||
|
||||
[AMA 🏆](https://www.reddit.com/r/Superstonk/search?q=flair_name%3A%22AMA%20%F0%9F%8F%86%22&restrict_sr=1)
|
||||
|
||||
Join us on [r/Superstonk](https://www.reddit.com/r/Superstonk/)'s new [Superstonk Youtube Channel](https://www.youtube.com/channel/UCI4EET9NJPWxUuXGlG6fxPA) for SUPERSTONK LIVE - a new live stream and discussion platform, that allows us to put on a "show" with guests, discussions, media, and more.
|
||||
|
||||
Our first "show" will feature [Dr. Susanne Trimbath, PhD](https://www.gminsight.com/bio-susanne-trimbath) and [u/atobitt](https://www.reddit.com/u/atobitt/), who will be discussing naked shorts and other topics related to Dr. Trimbath's work, as well as answering questions from this AMA post.
|
||||
|
||||
Please see the bottom of this post for more information about the Youtube Channel, including the information that this will never, ever be monetized.
|
||||
|
||||
See the livestream here:
|
||||
|
||||
[Superstonk Live - Dr](https://youtu.be/9rKS92zwh_o)[. Susanne Trimbath, PhD - April 29, 2021 @ 3:00 p.m. EDT](https://youtu.be/9rKS92zwh_o)
|
||||
|
||||
Make sure to bookmark this link, Save the video to a playlist, and subscribe and enable notifications for the channel itself, so you can get updates for any future content.
|
||||
|
||||
Susanne Trimbath, Ph.D.
|
||||
|
||||
Susanne Trimbath holds a Ph.D. in Economics from New York University and received her MBA from Golden Gate University. Prior to forming STP Advisory Services, Dr. Trimbath was Senior Research Economist in Capital Studies at Milken Institute (Santa Monica, CA) and Senior Advisor on the Russian Capital Markets Project (USAID-funded) with KPMG in Moscow and St. Petersburg. She previously served as a manager in operations at Depository Trust Company in New York and the Pacific Clearing Corporation in San Francisco; she started her career in financial services operations at the Federal Reserve Bank of San Francisco. Since 1989, Dr. Trimbath has taught economics and finance in university graduate and undergraduate programs as adjunct, associate and full-time professor. In 2009, she was certified to teach in the distance-learning environment by both Bellevue University (Nebraska) and University of Liverpool (UK, by Laureate International, Amsterdam).
|
||||
|
||||
[](https://preview.redd.it/xwe3vp3llov61.jpg?width=500&format=pjpg&auto=webp&s=b2498ae062d4893d1800066c373cf0b756ae0894)
|
||||
|
||||
Chief Executive Officer, STP Advisory Services, LLC
|
||||
|
||||
Dr. Trimbath helped create the Transportation Performance Index for the U.S. Chamber of Commerce (Washington, D.C.) which she used to demonstrate the real economic payoff of investments in infrastructure. Dr. Trimbath authored, edited and contributed chapters to five books, including Mergers and Efficiency (2002), Beyond Junk Bonds (2003), and Methodological Issues in Accounting Research (2006). Her media credits include appearances on national television and radio programs (CNBC's Power Lunch and NPR's Marketplace) and the Emmy® Award-nominated Bloomberg report Phantom Shares. She appeared in several documentaries on capital market corruption and the financial crisis including Radio Wars: The Secret History of Sirius-XM Satellite Radio (2012), nominated for Best Documentary by the New York City International Film Festival. Dr. Trimbath's articles appear in the national publications US Banker, The International Economy, and The American Enterprise in addition to academic, peer-reviewed journals. Dr. Trimbath is a contributing editor at NewGeography.com.
|
||||
|
||||
---
|
||||
|
||||
This AMA Post will remain active for two days until the live stream on Thursday, April 29 @ 3:00 p.m. EDT, at which point this post will be LOCKED and questions will be answered live on Youtube. Please note that our AMA guests have limited time, and cannot possibly answer all questions, so we encourage you to put some effort into your questions so that they can be upvoted by your fellow apes for visibility.
|
||||
|
||||
---
|
||||
|
||||
YOUTUBE INFO
|
||||
|
||||
Please note... This channel is not monetized, nor will it ever be (screenshot this and hold us accountable), and is strictly for education and discussion as it relates to [r/Superstonk](https://www.reddit.com/r/Superstonk/) topics and the interests of the community. The idea was approved by the mod team, and the channel was created and is administered by [u/redchessqueen99](https://www.reddit.com/u/redchessqueen99/). The stream itself will be handled through a third party service with many live-editing features (omitted for security's sake) that allows a stream through Youtube.
|
||||
|
||||
Finally, we made the choice to create this platform because AMA guests seem to prefer the live stream method, since they don't always have a reliable platform to stream from. This allows us to offer them a choice of platform, and also a means of discussion with our members LIVE, that ultimately will cater to the interests of [r/Superstonk](https://www.reddit.com/r/Superstonk/) and this community of diamond handed apes.
|
||||
@ -0,0 +1,734 @@
|
||||
🚨📺 STONKY NEWS ~SPECIAL REPORT 📺🚨 Dr. Susanne Trimbath AMA Transcription and summary, with supporting materials (and memes)
|
||||
===============================================================================================================================
|
||||
|
||||
| Author | Source | Twitter |
|
||||
| :-------------: |:-------------:|:-----:|
|
||||
| [u/Bye_Triangle](https://www.reddit.com/user/Bye_Triangle/) | [Reddit](https://www.reddit.com/r/Superstonk/comments/n1vubv/stonky_news_special_report_dr_susanne_trimbath/) | [Susanne Trimbath PhD](https://twitter.com/SusanneTrimbath?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Eauthor) |
|
||||
|
||||
---
|
||||
|
||||
This may be our most ambitious crossover event...
|
||||
|
||||
[](https://preview.redd.it/c3zziltwmbw61.jpg?width=1432&format=pjpg&auto=webp&s=557fd27d4f535f9214ce7ff6b10c05900b0d53dc)
|
||||
|
||||
Dr. Susanne Trimbath AMA Transcription. Summaries, supporting materials, punctuation and memes brought to you by u/Bye_Triangle, u/Luridess, u/Leaglese & u/Cuttingwater_
|
||||
|
||||
I'm Brick and I do news, I come to you with SPECIAL REPORT
|
||||
|
||||
[](https://preview.redd.it/o1raj2noqbw61.jpg?width=1200&format=pjpg&auto=webp&s=c6a2d48257078b6c63e9d741c931090e6de6bd18)
|
||||
|
||||
u/Bye_Triangle
|
||||
|
||||
First off, I would like to say a massive THANK YOU to Dr. T. It was out of the kindness of her heart and her passion for justice that she decided to come to speak with us, *for free,* I might add. Dr. T is a busy woman, so it is an honor that she spent even an hour of her time with us. I for one, am really hoping that we get the opportunity to speak with her again because that was probably our most insightful AMA yet!\
|
||||
The following is the transcribed conversation between [u/atobitt](https://www.reddit.com/u/atobitt/) and Dr.T, accompanying it are summaries that break down the sections into more digestible pieces. [The video of the stream is also available on the r/superstonk official youtube channel if you cannot read.](https://www.youtube.com/watch?v=fGVY2Kco8ng&ab_channel=Superstonk) Thank you for being such behaved Apes while Dr.T was here, you are amazing. 💎💙
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
INTRODUCTION
|
||||
|
||||
[](https://preview.redd.it/mnvgpiiymbw61.jpg?width=936&format=pjpg&auto=webp&s=2c686294c302e62a45916e6940b2a968fb822c58)
|
||||
|
||||
Kenny G trying to short our AMA less than 2 minutes in. 😂 credit: u/stellarEVH
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Thank you everyone for joining us, this is our first [r/Superstonk](https://www.reddit.com/r/Superstonk/) live AMA. AMA stands for Ask Me Anything
|
||||
|
||||
- I'm here today with Dr. Susanne Trimbath, the author of several books, including what we'll be covering today, [Naked, Short and Greedy: Wallstreet's Failure to Deliver](https://www.amazon.ca/Naked-Short-Greedy-Streets-Failure/dp/1910151343)
|
||||
|
||||
- May I call you Dr. T?
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Yes, please.
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Great. How are you doing? Are you ready for this?
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Yes, I'm all set. I'm very excited.
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- I feel like we are going to finally get this out. Finally get this in front of people that, honestly, keep asking "What's going on?" and you're here to provide answers.
|
||||
|
||||
- Would you go ahead and walk through a brief intro of your background and expertise?
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Pretty much all my career has been in finance. I knew from an early age I wanted to study money, basically, and how money works.
|
||||
|
||||
- I've worked with insurance companies, federal reserve banks, stock exchanges, clearing, settlement - that was my career through the time that I went to grad school in 1994 which is when I left the DTC in New York.
|
||||
|
||||
- Did my PhD in economics at New York University and then went to the Milken Institute (Santa Monica, CA) where I did Capital Markets research for a couple of years before going out on my own. I then did independent research in finance and economics since 2003.
|
||||
|
||||
- I do want to say that I've probably *forgotten* more than what most people will ever know about back-office operations and all the post-trade stuff.
|
||||
|
||||
- I also worked in Russia to help them build trade clearing settlement systems when they shifted from communism to capitalism.
|
||||
|
||||
- My expertise is post-trade, not trading or trading operations.
|
||||
|
||||
- But there are a lot of other people with more expertise who can answer questions about hedge funds, dark pools, trading strategies, that kind of thing. That's not what I really know most about. I've taken an investment class in college, so I know enough about it. My expertise mostly lies in everything that happens backstage at Wall Street.
|
||||
|
||||
TL:DR 🦍 Summary: Dr. T has experience across a wide spectrum of the financial markets, including knowledge globally. More specifically, her expertise lies in everything
|
||||
|
||||
that happens "backstage at Wall Street".
|
||||
|
||||
- Link to Dr. T's Full Bio: <https://www.gminsight.com/bio-susanne-trimbath>
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
HOUSE OF CARDS / THE EVERYTHING SHORT
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- And that's what's so incredible about having you on here because a lot of people are just trying to figure out and get a look inside the DTC.
|
||||
|
||||
- We've been talking and posting about what's going on, but having you here to actually help us explain that and to dive into the follow-up to [House of Cards](https://www.reddit.com/r/Superstonk/comments/mvk5dv/a_house_of_cards_part_1/?utm_source=share&utm_medium=web2x&context=3), which you generously spent time reviewing, as well as [The Everything Short](https://www.reddit.com/r/GME/comments/mgucv2/the_everything_short/?utm_source=share&utm_medium=web2x&context=3).
|
||||
|
||||
- A lot of people want to know, just high-level: How close were we? Are we trying to shout the same message?
|
||||
|
||||
- Dr. T
|
||||
|
||||
- HoC is a lot more of what I know
|
||||
|
||||
- Everything Short - there's a lot of stuff in there that I'm not as experienced with. I offered you some comments on that, but I don't think I can be as helpful there.
|
||||
|
||||
- On HoC, some things you caught on to.
|
||||
|
||||
- For example:
|
||||
|
||||
- DTC rule changes about not allowing issuers to say "I don't want to be in the depository".
|
||||
|
||||
- Most people would have missed that because that really came about as a result of one issuer telling their shareholders to pull their certificates out of the system
|
||||
|
||||
- So rather than leaving their shares with their broker, to get them registered in their own name.
|
||||
|
||||
- That had been done on a small scale before.
|
||||
|
||||
- But for this issuer, a lot of people/investors were organized, and pretty much everything came out.
|
||||
|
||||
- At that point, the DTC said issuers can't request this.
|
||||
|
||||
- Now, an individual can still ask to have their shares registered in their name.
|
||||
|
||||
- Gamestop has a direct stock purchase program where you can buy your shares directly from them, I think the minimum purchase is $25 for a one-time buy.
|
||||
|
||||
- So you can still do it, but finding that example in HoC showed me:
|
||||
|
||||
- you've done a lot of background research;
|
||||
|
||||
- you came up with a lot of things people missed
|
||||
|
||||
- There were a few problems with HoC in there.
|
||||
|
||||
- The big problem for me is when you said Cede & Co is a company.
|
||||
|
||||
- In fact, Cede & Co is a nominee name. Think of a Trustee/Custodian relationship.
|
||||
|
||||
- All banks/brokers have a nominee name they use for securities registration.
|
||||
|
||||
- Any shares registered with a nominee name signals to the issuer that those stocks are not held for the company, that they're actually held for someone else.
|
||||
|
||||
- Trivia about Cede & Co. name origin:
|
||||
|
||||
- short form of 'Central depository'
|
||||
|
||||
- They started out as a department at the NYSE
|
||||
|
||||
- And when they needed to get a nominee name to hold securities for trade settlement, they used Cede & Co.
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Thank you for clearing that up and for the compliment.
|
||||
|
||||
- I heard some theories from others but your version is like hearing the Gospel because it's coming from a credible source.
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Yes, "Central" because that's where all of the NYSE members could deposit shares/certificates there
|
||||
|
||||
- And Cede & Co would hold it for them so they could use it for trade settlement because in the late 1960s there was a paperwork crisis on Wall Street.
|
||||
|
||||
- They couldn't get shares transferred or re-registered from one name to the next when you sold securities, in time for the two-week settlement cycle.
|
||||
|
||||
- So imagine as you're trying to go from T+5, T+3, T+2, how difficult it became.
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- Cede & Co is a nominee name, banks and brokers have custodians they use for securities registration, any shares registered with a nominee signals the stocks are being held for someone else.
|
||||
|
||||
- Cede & co came about owing to a paper crisis as trades increased, and they became the nominee to hold a majority of securities.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
THE BIG ISSUES
|
||||
|
||||
- Atobitt
|
||||
|
||||
- I know you've drilled in a couple of really big points in your book about your personal feedback on some T+10 settlements
|
||||
|
||||
- Our main focus:
|
||||
|
||||
- There are these shares that are just kind of floating around, being borrowed and being lent and lent again. It creates this problem where nobody knows exactly what is going on or who owns what.
|
||||
|
||||
- We just know there are more shares out there than the company originally issued
|
||||
|
||||
- In a perfect world, how would a naked short sale be held in account/ kept accountable? How would that go in a perfect world?
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- In a perfect world there would be no naked short selling. PERIOD. That's really an exception. In most Market Maker underwriting agreements, there's a little clause where the issuer agrees that the underwriter in the remarking agents can in fact sometimes sell more shares than they actually have in order to keep the market flowing, in order to meet demand.
|
||||
|
||||
- In a perfect world, if I was an issuer I wouldn't agree to that
|
||||
|
||||
- In a typical short sell situation:
|
||||
|
||||
- The retail customer puts in an order to short sell the stock.
|
||||
|
||||
- The broker finds somewhere to borrow it so they can make delivery.
|
||||
|
||||
- They either pre-borrow or borrow at least within 2 days of executing the trade.
|
||||
|
||||
- Borrowed shares are then delivered to the buyer, who then gets all the rights, including dividends and voting rights
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- So the rights are being transferred right along with the shares that are being borrowed and that shares may be borrowed multiple times, correct?
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- It can, it's not supposed to be, but it certainly can be. Because the buyer often doesn't know they are getting a borrowed share-- right?
|
||||
|
||||
- There was a time, in the 70s, when broker friends, of mine would tell me they would not accept borrowed shares at settlement, because of the chance that they were borrowing a borrowed share. Basically, they would not be the buyer in a short sale.
|
||||
|
||||
- This is where it starts to get into the 'not-so-perfect world'
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- The perfect segue!
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- In a not-so-perfect world... the short seller, even one who borrows, may or may not "mark the trade". I say "mark the trade" that's old school. You actually used to have a piece of paper, you would write short on that piece of paper and say "I'm sell 100 shares of something-or-other
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Are there the short sale indicators that we are seeing on FINRA reports? Ex - "Failure to mark as short sale.."
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Yeah, yeah, it used to be that you'd actually write it on paper and now it's electronic, so there is something in there. So, If the short seller knew that buyers would not accept borrowed shares, they might in fact *"forget"* to mark it short*,* right?
|
||||
|
||||
- So there is no record of a short sell anywhere, not at the exchange level, and certainly not... there is no indication to the buyer that they are going to be receiving borrowed shares.
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Really quick, there, so I can understand; That is, in essence, a way for them to say "Okay, The system wouldn't typically allow for someone to take a share that's marked as short or marked as borrowed, and by excluding that, it doesn't give the indicator and allows it to go through the system."
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Right... the buyer is the one who wouldn't allow it. It's not that the system doesn't allow it.
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- But the buyer doesn't know the difference?
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- The buyer doesn't know the difference. But, at the brokerage level, broker to broker, [the short sellers] know when they put that trade together, that they are selling short. If they don't turn on the indicator, that's where the violations come in. Especially, post Regsho, in the '04 period. That became a MAJOR issue, because the number of shares circulating was so much greater than the short sales.
|
||||
|
||||
- So that's one problem that occurs, the other one is that; you mark the sale short and you *pinky-promise* that you're gonna deliver the shares... but then you... "Forgot" to borrow them, Didn't borrow them, thought you could get them but then you couldn't get them, and maybe someone promised they'd lend them to you and then at the last moment they didn't.
|
||||
|
||||
- So that's another problem that occurs, right? Even if you marked it short, you may or may not be able to get the borrowed shares to deliver.
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- In a perfect world, there'd be no naked short selling.
|
||||
|
||||
- In underwriting agreements, MM or agents can sell *more* shares than they have to meet market demand. When a share is borrowed, the rights of the share borrowed are also distributed with it
|
||||
|
||||
- Brokers can know whether something purchased is borrowed if it is marked, but often direct buyers (retail) don't know that they are buying short, borrowed shares.
|
||||
|
||||
- There have been many cases of violations of brokers 'forgetting' to mark shares as short just so they can open the short position, even if this later has a high likelihood of becoming FTD because shares without this designation are more likely to be bought by brokers.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
BYRNE AND OVERSTOCK
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- So on that point, I think it's a great time to segue into-- You spent a lot of time in your book, talking about Patrick Byrne and Overstock.
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Yeah
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- I think it speaks volumes... you were using words that I think were *very* generous, like "accidentally" or "*may not* have", or "we left out something that we should have covered by sorry we forgot"
|
||||
|
||||
- Would you mind giving us an overview of what happened with Patrick and Overstock?
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Yeah, so that was really interesting... Patrick was very active, this crusader-- self-declared crusader against naked short selling.
|
||||
|
||||
- So there is this group called the North American Securities Administrators Association ([NASAA](https://www.nasaa.org/)). Every state has a securities admin, someone who takes care of the rules in their organization.
|
||||
|
||||
- Well, I may get some dates and names wrong..
|
||||
|
||||
- This whole thing was coming out, companies and investors were complaining at the state level regarding Naked Short Selling, stock loans, and all that.
|
||||
|
||||
- They called a panel discussion in Washington DC at the end of 2005. I was one of the people on that panel.
|
||||
|
||||
- I didn't know Patrick at the time but knew that there were people like him, investors and CEOs of companies, in the audience. I stunned them by presenting a report from the Securities Transfer Association that indicated that of the 285 proxy vote cases examined (votes at corporate annual meetings of shareholders), all 285 have over-votes
|
||||
|
||||
- Over-vote is when there are more votes than shares available
|
||||
|
||||
- And this happened in all cases, sometimes by a large amount
|
||||
|
||||
- To be clear, the problem is a little better now, only 85% of the test cases had over-votes but it's far from fixed.
|
||||
|
||||
- So, they were really shocked...
|
||||
|
||||
- I put out a challenge to all the CEO's in the audience, and I said: After this seminar buy 10k shares of your own company and at that time, three days later the broker is going to take money out of your account and will tell you that you have your shares.
|
||||
|
||||
- But go ask them if you actually received your shares. Now, if you or I went to a retail broker and asked that question, they would say "yes, it's right here in your account"
|
||||
|
||||
- But if you're a purchasing power or a corporate CEO, you have tighter connections and they will really dig into it to make sure.
|
||||
|
||||
- Eventually, his broker confirmed to him that he did not get the shares and that multiple attempts to purchase the shares to replace what he didn't get failed. There were simply not shares available to meet his purchase.
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- You're talking $50 million worth of shares
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- They're happy to keep his money, but they knew they didn't have the shares for him.
|
||||
|
||||
- But it took him two months, as CEO of the company that he's trying to buy shares from, took him two months to get his shares
|
||||
|
||||
- It's a prime example of how retail brokers don't know what's going backstage. Retail brokers know what's going on in front of them, on the record, but not what's going on backstage behind the scenes.
|
||||
|
||||
- This got a lot of attention.
|
||||
|
||||
- Bob Drummond from Bloomberg Magazine wrote a multi-page article called [The Proxy Voting Charade](https://web.archive.org/web/20060421085925/http://www.rgm.com/articles/FalseProxies.pdf), which was inspired by his attendance at that meeting in 2005 where I was a panelist, where there are people voting as shareholders in matters of corporate governance which are so important, and yet their votes aren't counted because there are too many votes coming in
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Exactly and we're actually dealing with that right now with Gamestop - dealing with the proxy voting and Gamestop
|
||||
|
||||
- And tying that back in there, we had a volume chart - before we got into the peak here before the run-up we were having upwards of 180 million shares traded per day
|
||||
|
||||
- 197 million was the peak there - we're talking about circulating the same stock four times
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- In one day, their entire capital - so that number of shares outstanding, that's their capital statement, that's on their balance sheet, that's what they report to the Secretary of State in the state where they're incorporated about what their capitalization is like
|
||||
|
||||
- And in 1 day... that's crazy
|
||||
|
||||
- Atobitt
|
||||
|
||||
- That's incredible, a really good point.
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- This problem of naked shorting, and by extension, overvoting is not restricted to GME at all, in fact, it appears to be a major issue industry-wide.
|
||||
|
||||
- Even the CEO of the company Overstock, purchasing their own stock, couldn't have their broker find the actual shares purchased, it took 2 months before they did.
|
||||
|
||||
- The fact GME traded nearly 4x its float in 1 day is insane.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
ETG LAWSUIT AND NAKED SHORTS
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- And just a couple of other points on top of that:
|
||||
|
||||
- That wasn't the only lawsuit that we're talking about here as well
|
||||
|
||||
- In addition to Patrick, in 2006 lawsuits were filed against 11 prime brokers for allegedly doing the same thing, and according to your book, they were conspiring to do this.
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- ETG filed a lawsuit think it was settled out of court
|
||||
|
||||
- I don't think there's any public information about the resolution
|
||||
|
||||
- This is a really important point though because we want to talk about 65 million shares that the company issued and yet 180-210 million shares outstanding
|
||||
|
||||
- ETG's complaint:
|
||||
|
||||
- their financial model was for shorting a particular stock included the fact that the shares were borrowed and would eventually have to close the short and replace them
|
||||
|
||||
- if the prime brokers were giving their funds/trade orders to a group, and that group is not borrowing the shares to deliver, then that ruins their financial model
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Can you segue from this into the Triumvirate Trouble, because I feel like that's kind of what you're touching on here?
|
||||
|
||||
- So it's not just the naked short selling, but we have these other additional factors - can you please elaborate on that?
|
||||
|
||||
- Dr. T
|
||||
|
||||
- the triumvirate of trouble is:
|
||||
|
||||
- shorts (naked or otherwise);
|
||||
|
||||
- FTDs; and
|
||||
|
||||
- loans
|
||||
|
||||
- even shorts covered by a borrowed share will increase the number of shares in circulation
|
||||
|
||||
- While that share is out on loan, there are actually two people claiming ownership, but only one person owns it and the other "kind of" owns it, like they have a marker and then eventually the shares will be delivered back to them and they'll have their ownership right"
|
||||
|
||||
- So even a short covered by a loan is a problem
|
||||
|
||||
- And when you throw in fails to deliver, which means that long or short, you just don't show up at settlement with shares, all of those add to the increase in "the Denominator"
|
||||
|
||||
- I don't want to get too "math-y" on you but I noticed some highly educated and technical persons in your audience: so the denominator in the financial ratios is shares outstanding
|
||||
|
||||
- ½ is bigger than ⅓
|
||||
|
||||
- So as you increase the denominator you decrease the values
|
||||
|
||||
- That just throws all the financial ratios out the window
|
||||
|
||||
- Atobitt
|
||||
|
||||
- High level - are the incentives for these companies to Fail to Deliver instead of just covering their shorts like they're supposed to?
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- that's a trade type question, but what I can say is up until recently there was no penalty for FTD
|
||||
|
||||
- It was only recently that the NSCC and others have started to put in penalties: there is flat fee penalty, per dollar penalty, daily interest penalties
|
||||
|
||||
- There was a paper done in the early 2000s by a researcher at the SEC that talked about strategic fails to deliver, i.e. they give me money and I give you nothing and I pay a little fee to whomever I failed to deliver to, in the meantime, I have your money so, for two months, Patrick's broker had use of his money that they could use freely do to as they wish for their own benefit and interest - free available capital
|
||||
|
||||
- this is incentive enough, having the cash of someone else, it's only a little fine you have to pay and they can earn enough to make the cash back and more so that it's worthwhile to pay the fine
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- ETG filed a lawsuit that was settled outside of Court to keep things hush-hush, but it was based on their shares outstanding vastly exceeding their float.
|
||||
|
||||
- You will likely never hear publicly about successful cases if settled.
|
||||
|
||||
- Penalties have only recently been introduced for FTDs.
|
||||
|
||||
- What's the incentive for them? Money. It's always money.
|
||||
|
||||
- Before, they would take someone's cash via FTDs, to then make more cash and only get a slap on the wrist for doing so.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
DTC COMPLAINT PROCESS
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Let's segway into DTC oversight incompetence and their involvement
|
||||
|
||||
- What did the DTC do when complaints were received?
|
||||
|
||||
- Can you walk through how that management info system kept track of these issues?
|
||||
|
||||
- Dr. T
|
||||
|
||||
- I worked in troubleshooting in DTC, dealt with all the operational-- everything that didn't balance in operations
|
||||
|
||||
- We'd send something to a transfer agent to have it re-registered in Cede & Co's name, from Merryl Lynch or whatever, and a month later it hasn't come back yet
|
||||
|
||||
- So that item appears on a list for the supervisors in the morning
|
||||
|
||||
- There's a similar activity in the vault - for example, they get a break list every morning, and it says "this is what is on the shelf and this is what we're supposed to have"
|
||||
|
||||
- In other words, this is what the system says is on the shelf vs this is what we're supposed to have, and we need to figure out why there is a different settlement amount between the two numbers.
|
||||
|
||||
- The only one who doesn't get this list is money, because on the money side if you don't deliver your money by 4 pm someone's on the phone calling you to get your money in, so that's a whole different issue.
|
||||
|
||||
- In this scenario, we're just talking about shares on the lists
|
||||
|
||||
- So those lists, and I know from my work in troubleshooting those lists... Those lists are sorted by VALUE.
|
||||
|
||||
- So we have aged fails, aged transfers, and they always come out by value and you always hit the big value items first
|
||||
|
||||
- [u/StonkU2](https://www.reddit.com/u/StonkU2/) and I spoke about this as well: as the brokers continue to short, or naked short a stock, they continue selling more than buying to push the price down, and as they push the price down they can in fact keep dropping that item further down on the priority list for investigation at the DTCC because now it has a lower value
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- DTC has a list of issues to rectify sorted by value alone.
|
||||
|
||||
- By driving the price down, the short seller not only drives the price to the ground and makes money, but because investigations are dealt with on a value basis by the DTC, the further the price goes down, so does the priority level of the issue, in the DTC's books.
|
||||
|
||||
- ** Editor's note: Mind-blowing.*
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
NAKED SHORT ENDGAME
|
||||
|
||||
- Atobitt
|
||||
|
||||
- So, you're intentionally lowering and reducing the priority of a stock.
|
||||
|
||||
- Dr. T
|
||||
|
||||
- And I think a related question came up in the AMA that I read.
|
||||
|
||||
- I can't remember who it was from but it was along the lines of "what happens when the company goes out" right?
|
||||
|
||||
- So the End Game in naked shorting is that you deny the issuer access to capital by pushing down the stock price, so the only way they can raise capital was if they come out and issue new stock, so now you're getting bigger and bigger shares of equity for less and less money
|
||||
|
||||
- So if your stock price is up that's when you want to issue more equity because you're getting the interest and capital
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Gamestop is taking advantage of that right now too -market price is high, it's a good time to make some cash
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- That's the time to do it because if they need capital if they want to raise capital, that's the way to do it
|
||||
|
||||
- By pushing the stock price down they are denying the issuer access to capital if the capital is really important -for example if you don't have money to expand your business, buy new equipment, capital purchases, eventually, they can drive the company out of business
|
||||
|
||||
- Once they do that, then all of the fails, shorts, loans-- everything is erased because the stock's declared worthless
|
||||
|
||||
- Technically, if you can't get a share transferred, re-registered from one name to another for two years then the DTC can declare the stock worthless
|
||||
|
||||
- At that point, they just archive the records and shred the certificates
|
||||
|
||||
- One of the AMA questions that came up is related to this - there's so much damage done, not just to the investors-- of course the investors suffer
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Would you say about 7500 companies have been put in a coffin because of activity like this?
|
||||
|
||||
- Dr T:
|
||||
|
||||
- It's hard to say.
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- I just remember something similar to that in the book
|
||||
|
||||
- It's just mind-blowing that this is that systematic.
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- There are companies that get started, fail, and go out of business. That does happen, so DTC has a procedure to do this
|
||||
|
||||
- But the idea of it - it's just very official
|
||||
|
||||
- If you can't make a transfer in two years, it's worthless, your broker shreds the certificates, and then that's the end game for that asset grab in particular.
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- Driving a stock price down restricts the availability of capital, which in turn assists in running the company out of existence as they can't issue to generate capital.
|
||||
|
||||
- The ultimate goal of naked short sellers is to make the company worthless, at that point, every action they've taken to manipulate the stock price and hinder the DTC investigating disappears into shredders and archives. BRRRR.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
FTD'S, BANKS, SEC EXAMINERS
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Yeah... I mean that story to me, about having the option, in audit, and all these internal controls, where do you have the incentive/opportunity to cheat the system? *that is a red flag* on top of some of these points that you have.
|
||||
|
||||
- In 2008 the banks that were the source of these FTDs began to see their *own* shares FTD and so to protect them the SEC stepped in and stopped short sales against these securities but JUST the securities of those banks.
|
||||
|
||||
- Dr. T
|
||||
|
||||
- Exactly, and that was the ?? went to congress and said they're "Help me help me they're shorting my company now!" but, they're the perpetrators!
|
||||
|
||||
- Atobitt
|
||||
|
||||
- It just sounds way too familiar with what happened with Robinhood not too long ago.
|
||||
|
||||
- Dr. T
|
||||
|
||||
- And then on the other side of that coin is that, and I do need to mention this, in Europe and Asia when they stopped naked short selling they stopped it in *all* the stocks it wasn't just the banks in the US they only protected the banks.
|
||||
|
||||
- That's a really big red flag, why stop it just for the banks when they were the ones causing most of it?
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- Evidence and history have shown that the SEC will step in to help the FTDs of the *banks*, but they historically will not help other stocks such as GME.
|
||||
|
||||
- The evidence is that the SEC prevented naked short selling of the bank stocks and no one else's; whereas in Europe and Asia they protected *all* stocks from naked short selling.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
- Atobitt
|
||||
|
||||
- And so when a lot of these SEC examiners would come over to the DTC, people that are behind the scenes and outside of this we have this impression that these people are being parented. Like mom and dad are making sure the kids aren't breaking the law, but when they would come and see you, generally the first question out of their mouth was?
|
||||
|
||||
- Dr. T
|
||||
|
||||
- What does DTC do?
|
||||
|
||||
- Atobitt
|
||||
|
||||
- What does the DTC even do? And when you mention another point in here "it is easier to pass a FINRA exam in order to become a broker than it is to get your *barber's license*."
|
||||
|
||||
- Dr. T
|
||||
|
||||
- In most states, yeah. Yeah.
|
||||
|
||||
- Atobitt
|
||||
|
||||
- That is just *mind-blowing* to me.
|
||||
|
||||
- Dr. T
|
||||
|
||||
- It's not that difficult to do. A lot of times a lot of people will get hired and trained on the job *whilst* they are passing their series 7 license.
|
||||
|
||||
- So it's not, look they just have to know some fundamentals there are things like a certified financial analyst right, CFAs (*Atobitt agrees*) right because that's an official designation beyond I understand the mechanics of stock trading, it's I know something about financial analysis behind it.
|
||||
|
||||
- Atobitt
|
||||
|
||||
- And to that point you were, I think you said 73% of the exam was basically them telling people which stocks to invest in as opposed to what the process of this is, it was like advising almost in that exam.
|
||||
|
||||
- Dr. T
|
||||
|
||||
- Yeah and that FINRA exam there's, you can see some of the questions and sample questions, you know it's pretty 'accessible'
|
||||
|
||||
- Atobitt
|
||||
|
||||
- *sigh* unreal. So to kind of group this in, I feel this is a good time to bring this in, what we've done is taken a list of questions that were pertinent to this conversation and I've grouped them into about 20 relevant questions like FTDs or regulation or compliance and oversight and as we're having this conversation I'm trickling these questions in.
|
||||
|
||||
- And then afterward when we post the follow up which will be posted after this these people will be able to see these questions and shout those people out but we had a lot of questions on this with the regulation and I think a lot of people don't know that these people are SROs, Self Regulatory Organisations and they don't fall under the realm of things like the Dodd-Frank and some other regulatory acts
|
||||
|
||||
- So, it is just overwhelming the things you have put in your book to address this, like the triumvirate of trouble but how this is allowed to be this pervasive and the system actually *allows these people to* fail to deliver which is something, as you mentioned, we need to raise the pitchforks about.
|
||||
|
||||
[](https://preview.redd.it/5mg0z9k4qbw61.jpg?width=1156&format=pjpg&auto=webp&s=6f8bbe7bd0b7b19f1f4ef17dc1e796a86bde5d62)
|
||||
|
||||
u/mortz232 Pitchfork Army is here
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- Historically SEC examiners would approach the DTC and just ask, what do you do? (these are supposed to be professional examiners keeping brokers in check)
|
||||
|
||||
- Dr. T then clarifies a lot of these people (brokers) 'learn on the fly' and the qualifications they hold are less difficult to obtain than *a barber's license in most states*
|
||||
|
||||
- The fundamental understanding of brokers is therefore suspect
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
COMMUNITY QUESTIONS
|
||||
|
||||
- Dr. T
|
||||
|
||||
- Yeah, the pitchfork moment you have to find that point where you say enough is enough and I really need to do something.
|
||||
|
||||
- Um, there was a question from, I just need to go back (*go for it! Ato*)
|
||||
|
||||
- I don't really speak emoji *laughs* Is it auto-bit? Right? I don't know how to pronounce your handle I'm sorry
|
||||
|
||||
- Atobitt
|
||||
|
||||
- You're not the first! It's fine!
|
||||
|
||||
- Dr. T
|
||||
|
||||
- [u/HappySheeple3](https://www.reddit.com/u/HappySheeple3/) asked the question what can you do? I had a similar question from Rower like what can we do and so I need to go back and it was [NASAA.org](https://www.nasaa.org/)
|
||||
|
||||
- They put together that, a panel discussion in Washington where you know a lot of conversations took place like Overstock and NYSE was there and they had to admit some of the things they did on the proxy so [NASAA.org](https://www.nasaa.org/) they have a button at the top of their homepage that says contact your state securities administrator right, so they are the people who are the most interested in the complaints you have about corporate governance, and what's happening to the company in the state where you are so I did want to mention that
|
||||
|
||||
- And then just on the voting itself what do you do? Like you said right now GME is in proxy season? And then there's the story about Overstock in the book as well like what happened at their annual meeting when they got more votes in and they knew for a fact that members of Patricks' family did not receive their proxies and so were unable to vote
|
||||
|
||||
- There's a guy/website inspectors-of-election.com
|
||||
|
||||
- Atobitt
|
||||
|
||||
- We'll link this down below
|
||||
|
||||
- Dr. T
|
||||
|
||||
- Yeah, you can, the company has to do this, the investors don't, the company hires an inspector of elections, so like Carl Hagberg, For example, who will actually go in and try to figure out like what if you get, in my view and this is Carls' view as well and he is much more experienced on that side of the business than I am, if you're an issuer and you got more votes in than you have shares outstanding you should not accept those elections results, you should stop and get this thing straightened out
|
||||
|
||||
- This will help to reveal evidence if there *is* naked shorting, FTDs can be revealed like that is, there are few things that bubble up there is a lot about FTD and naked shorting that you will never find about public information.
|
||||
|
||||
- Atobitt
|
||||
|
||||
- *Intentionally* I'm arguing, intentionally too
|
||||
|
||||
- Dr. T
|
||||
|
||||
- Yes, and even *issuers* have a hard time finding out exactly what is going on with *their own stock,* this is a long-term problem. But there a few things which bubble up and one of them is during the annual meeting when it comes to voting
|
||||
|
||||
- Now after we raised this issue in 2005 there was Broadbridge, who processes a lot of this electronically, put in a service to the brokers, they can pay that if they report more shares to be voted, THAN they have held at DTC, then Broadbridge will tell them to 'fix it' *before* they tell the issuer
|
||||
|
||||
- And that is probably how 15% of the overvotes down, right, so they went from 100% of the test cases (Leaglese edit: being over-voted) to only 85% of the test cases, because Broadbridge will tell DTC, of the 1,000,000 million shares, 100,000 are held by Goldman, Merryl etc. So Broadbridge goes to Goldman and says you have 100,000, who does the vote go to?
|
||||
|
||||
- Goldman then says we have 200,000 or 150,000, Broadbridge will say sorry, you only have 100,000 so you need to fix this. Goldman then has a system where they have retail investors, within their accounts that they have more shares than actually existed.
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Gamestop is bouncing between 100-200%, institutional ownership is over 100%
|
||||
|
||||
- Dr. T
|
||||
|
||||
- A really important point is the institutions have to get up in arms about this, proxy voting charade, Bloomberg magazine has a lot of details about how anybody wants to understand that issue in more detail
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- Actionable steps that could be taken include, visiting <https://www.nasaa.org/> and contacting their local securities administrator as *they* will pay attention, as her friend Patrick did. These are the people that want to know about this stuff.
|
||||
|
||||
- Dr. T's position is that overvoting is a huge problem, and it is *not* solely confined to stocks such as GME. In fact, even now 85% of stocks are over-voted and that's because of the influence of a company who deals in trying to fix it, before, 100% of stocks in 200+ test cases were regularly overvoted.
|
||||
|
||||
- Where a stock is over-voted, this provides *proof* the stock is naked short sold and/or has a high number of FTDs. A problem prevalent throughout the industry.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
AUDIOBOOK - NAKED, SHORT, AND GREEDY
|
||||
|
||||
- Atobitt
|
||||
|
||||
- By the way, you have a huge demand for an audiobook right now too. Maybe we can talk a bit more about that offline?
|
||||
|
||||
- Dr. T
|
||||
|
||||
- So, I just wanted to say I have talked with the publisher and he is in London so he is, in contact with the Royal National Institute for the Blind, and that's not an audible book, for commercial purposes, but we are trying to make it available for those who are sight-impaired
|
||||
|
||||
- Atobitt
|
||||
|
||||
- You heard it here first, so got that in the works, that is incredible, that is excellent
|
||||
|
||||
- Would you mind if we went ahead and transitioned into looking at the evidence? So we're trying to lay out the groundwork of what has happened here we have these shares that are just rehypothecated to oblivion.
|
||||
|
||||
- We have the DTC that is not really... doing a whole lot to kind of, or any sort of agency that is in charge of, they're more incentivized to keep the problem going and we're trying to blow the lid off of it but looking at the evidence going forward I am going to be writing a lot of the stuff we talk about here in HOC 2.
|
||||
|
||||
- You mentioned a bunch of stuff in the book about a bunch of these numbers that I'd like to go over at a high level and we can discuss what the implications of some of those might be.
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- Dr. T and Atobitt think it is a great idea to make this information available to apes who are sight-impaired, and the mods of [r/Superstonk](https://www.reddit.com/r/Superstonk/) think so too.
|
||||
|
||||
- Ato prepares to dig into the evidence to support the position.
|
||||
|
||||
____________________________________________________________________________________________________________
|
||||
|
||||
See part two here (too many characters for one post):
|
||||
|
||||
Part two includes:
|
||||
|
||||
-THE EVIDENCE
|
||||
|
||||
- GET OUT OF JAIL FREE
|
||||
|
||||
- PUTTING THE *FAIL* IN FAILURE TO DELIVER
|
||||
|
||||
- NEW RULES, AND HOW WE MAKE A DIFFERENCE\
|
||||
- HOW THE EURO-APES SAVE THE DAY
|
||||
|
||||
- FOR NOW, IT'S GOODBYE
|
||||
|
||||
____________________________________________________________________________________________________________
|
||||
@ -0,0 +1,440 @@
|
||||
🚨📺 STONKY NEWS ~SPECIAL REPORT 📺🚨 Dr. Susanne Trimbath AMA Transcription and summary, with supporting materials (and memes) PART:2
|
||||
======================================================================================================================================
|
||||
|
||||
| Author | Source | Twitter |
|
||||
| :-------------: |:-------------:|:-----:|
|
||||
| [u/Bye_Triangle](https://www.reddit.com/user/Bye_Triangle/) | [Reddit](https://www.reddit.com/r/Superstonk/comments/n1vubv/stonky_news_special_report_dr_susanne_trimbath/) | [Susanne Trimbath PhD](https://twitter.com/SusanneTrimbath?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Eauthor) |
|
||||
|
||||
---
|
||||
|
||||
[Education 👨🏫 | Data 🔢](https://www.reddit.com/r/Superstonk/search?q=flair_name%3A%22Education%20%F0%9F%91%A8%E2%80%8D%F0%9F%8F%AB%20%7C%20Data%20%F0%9F%94%A2%22&restrict_sr=1)
|
||||
|
||||
THIS IS THE SECOND PART, SEE PART ONE HERE: <https://www.reddit.com/r/Superstonk/comments/n1vubv/stonky_news_special_report_dr_susanne_trimbath/>
|
||||
|
||||
[](https://preview.redd.it/2778p79gwbw61.jpg?width=1432&format=pjpg&auto=webp&s=dbad9f8f2cc6a3d586134f52aa33197ce7b084e1)
|
||||
|
||||
Dr. Susanne Trimbath AMA Transcription. Summaries, supporting materials, punctuation and memes brought to you by u/Bye_Triangle, u/Luridess, u/Leaglese & u/Cuttingwater_
|
||||
|
||||
THE EVIDENCE
|
||||
|
||||
- Atobitt
|
||||
|
||||
- So, right there at the top more than ⅓ of companies receive more votes than shares that are outstanding.
|
||||
|
||||
- That is direct evidence of what we are talking about here. Now I want to really drill into the FTDs.
|
||||
|
||||
- The 'open positions due' to the NSCC, and these are quotes from your book, 3.4 billion open positions due to the NSCC, open position to *buy* participants with the NSCC was 2.45 billion, that results in open total fails 5.8 billion in 2005 or?
|
||||
|
||||
- Dr. T
|
||||
|
||||
- 2000? or something like that
|
||||
|
||||
- Atobitt
|
||||
|
||||
- 2005 or 2007 or something? Something like that and from that, I pulled the same report 2019-2020, 2020's total and they've thrown this euphemism on there now it is no longer fails it is 'open positions for which a trade guarantee is applied'
|
||||
|
||||
- Dr. T
|
||||
|
||||
- Right, there is only that when there is a fail, as otherwise, it's just due next week or...
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Would you be surprised to know that your $5bn figure in 2005, basically pre-financial crises figure of 08, has turned into a $183bn figure?
|
||||
|
||||
- Dr. T
|
||||
|
||||
- Not really, but keep in mind part of that is there are more issues being traded in, there are... there are more types of issues since 2005-2006 NSCC has added ETFs, mutual funds, they've got some bonds through there so there is more activity, more numbers to settle that's certainly true so that's why when you use those figures in HOC or everything short, to put a denominator on there
|
||||
|
||||
- Atobitt
|
||||
|
||||
- There's that distinction, yes
|
||||
|
||||
- Dr. T
|
||||
|
||||
- It's a multiple something, a fraction of something, so when I look at the $183bn open positions, I want to go look at the Clearing Fund, because if that $183bn doesn't show up, it's the Clearing Fund that NSCC would draw on to cover that.
|
||||
|
||||
- So that's, for me, that's the denominator. Like I said a multiple or fraction, in the 03, 04, 05 if there were 40x if the FTDs were 40x the Clearing Fund if those fails really fail there is no way ...
|
||||
|
||||
- Atobitt
|
||||
|
||||
- It'd be game over, *game over*.
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- The direct evidence of naked shorting exists and remains today in that over ⅓ of companies receive more votes than are actually outstanding.
|
||||
|
||||
- FTDs have been classified in a new way, 'open positions for which a trade guarantee is applied' and on Atobitt pulling the same report Dr. T did at the time of her book, the problem has risen from a $4bn problem *to a $183bn* *issue*.
|
||||
|
||||
- Dr. T explains she is not surprised the problem has grown to this extent, owing to the advent of ETFs, Mutual Funds, and increased trading, etc...
|
||||
|
||||
- Dr. T warns all apes that you need context, like a denominator (her example, the Clearing Fund) in order to contextualize and understand your DD and appreciate the bigger picture.
|
||||
|
||||
GET OUT OF JAIL FREE
|
||||
|
||||
- Atobitt
|
||||
|
||||
- We're gonna talk a little bit more about these DTC proposals that have come out, I really wanna pick your brain on those.
|
||||
|
||||
- Yeah, that jump from to $184 billion was up $40bn alone from 2019, to your point about the Clearing Fund. Another point you illustrated in your book, was keeping the ratio or the volume of stock that's being traded on the NYSE, and as a comparison showing, we have a volume increase for a period between '99 to '03 and '03 to '06, 3 years to 3 years, the volume of total trades increased by about 29%, *for the same time frame, a 95% in FTD*
|
||||
|
||||
- Dr. T
|
||||
|
||||
- So, I never met a number I didn't like. Let me get a bit more math-y with you, so when reporters would go to DTC and say hey, why is the volume the value of fails gone from $5bn to $183bn?
|
||||
|
||||
- "We do more trades." "Trade values are rising." Bought as a percentage of transactions, processes still are a fraction of 1% but what I'm looking at is what is that change across time?
|
||||
|
||||
- So, if trade volume is the deal so fails are going up, then the change in trade volume should parallel this somehow, but it's just not there
|
||||
|
||||
- Atobitt
|
||||
|
||||
- It's just not there. To the point that you just brought up about that clearing fund, to the people that have been following my posts and your book talked about FTDs jumping like 1000% or 100% I also noticed these liabilities and assets going up, Citadel was somebody hard not to ignore in Citadel Has No Clothes, I don't think you actually reviewed that, but the point I'm trying to make is that asset side, or liabilities side has jumped 100% the assets are held by the DTC who are supposed to cover those.
|
||||
|
||||
- Also looking at the Clearing Fund balance of the NSCC, we have another 100% jump so in 2019 we had a Clearing Fund balance of $4bn but the 2015 Clearing Fund balance is just under $13bn and there was a 119% jump from 2019-2020 alone.
|
||||
|
||||
- So we talked about the amount being held to cover these shorts, and they say well we will have fewer failures if we just have a bigger deposit account.
|
||||
|
||||
- Dr. T
|
||||
|
||||
- Well, there's a relationship between the two now right so in, so in the comment leading up to the 2008 financial crisis, um I um, made the points in several places that what we just talked about, the Clearing Fund was a fraction of the fails right, that the risk in the system was enormous, to know that was, you know, because that's, you know they are too big to fail, status, right?
|
||||
|
||||
- Okay so after that
|
||||
|
||||
- Atobitt
|
||||
|
||||
- The get-out-of-jail free card right?
|
||||
|
||||
- Dr. T
|
||||
|
||||
- Right, so probably in, I've forgotten the year as I said, so probably 09 2010, something like that, prior to that there was no calculation for the Clearing Fund that included fails.
|
||||
|
||||
- So it was a big foreign activity, the more trades you did, the bigger your end-of-day settlement, the more you had to put into your fund. That's how the participants all put in different amounts based on what their activity is.
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- In 2005, FTDs and naked short selling resulted in a (*relatively if you read on*) small $4bn problem. Now, the problem sits at $183bn, with a jump of over $40bn from just 2019-2020 *alone*.
|
||||
|
||||
- Whilst stocks traded from 1999 to today's date have increased by 23%, *failures to deliver have grown by 95%*.
|
||||
|
||||
- Dr.T is not surprised owing to the increase in trades, ETFs, and mutual funds, and notwithstanding this, the number of trades and the Clearing Fund didn't rise at the same rate as the FTDs as the potential loss.
|
||||
|
||||
- Atobitt's theory is they just want to have more cash on account to cover the fails, and Dr. T clarifies that the Clearing Fund just is not enough as it wasn't in the 2008 financial crisis.
|
||||
|
||||
- Overall, Dr.T and Atobitt agree the players think they have 'too big to fail' status to obtain a get-out-of-jail-free card.
|
||||
|
||||
- Dr.T also states the Clearing Fund used to be based on your activity in the market, but the recent changes do not reflect that.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
PUTTING THE *FAIL* IN FAILURE TO DELIVER
|
||||
|
||||
- Dr.T
|
||||
|
||||
- The fails were not calculated in there until *after* the financial crises and then finally at that point it was included in there so as the fails rise, now the Clearing Fund should be going up with it and coming down with it.
|
||||
|
||||
- I think it (*edit: the Clearing Fund*) is still short, I don't think I'm, it's definitely not bigger than the fails
|
||||
|
||||
- It's not as far apart but again you have to look at this across time like what are the changes and then one thing that as I read HOC and Everything Short; you're looking at those financial statements that's where all the good stuff is
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Yeah
|
||||
|
||||
- Dr.T
|
||||
|
||||
- That's what if you want information about those NSCC fails, that's where it is
|
||||
|
||||
- Atobitt
|
||||
|
||||
- One sentence can change your entire interpretation of what you just read on the previous page.
|
||||
|
||||
- Dr.T
|
||||
|
||||
- Right, exactly and then the other thing is that DTCC and all of its subsidiaries are self-regulatory organizations which means they are regulated by the SEC.
|
||||
|
||||
- Therefore, all of their rule changes, price increases, everything that they do has to be submitted to the SEC subject to public review, open for comment, I haven't worked DTC since 1993 and the way I keep my knowledge updated is by watching their rule changes and watching, I mean,
|
||||
|
||||
- I look at their financial statements, they have continued to put less and less of what you really wanted to know and you know that reminds me of that old Paul Simon song, you know Make a New Plan Stan.
|
||||
|
||||
- As soon as you shine a light on something that you see that's not right the cockroaches run from the kitchen, right?
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Right.... Right
|
||||
|
||||
- Dr. T
|
||||
|
||||
- So, you talk about rehypothecation, the problem is really resubmit, reprice, right? And each time a failure occurs, it gets resubmitted for the next day's settlement as opposed to being *called out.*
|
||||
|
||||
- And if it were called out you could start to really see those numbers come down
|
||||
|
||||
TL:DR 🦍 Summary: Fails to deliver were not properly calculated until *after* the 2008 crisis. Dr. T expected the Clearing Fund to rise when failures were introduced, but she still feels it is *too short* (ironic no?).
|
||||
|
||||
- The DTCC and its subsidiaries are *self-regulated* and are therefore only beholden to the SEC and public review (hence rule changes anyone?)
|
||||
|
||||
- When the rule changes occur, the cockroaches appear.
|
||||
|
||||
- If fails and naked shorts were called out in the open, Dr. T predicts the numbers of both would drastically decrease.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
NEW RULES, AND HOW WE MAKE A DIFFERENCE
|
||||
|
||||
- Atobitt
|
||||
|
||||
- I want to jump into recent proposals with DTC, we can spend a couple of minutes talking about this and what the implications are
|
||||
|
||||
- 003 filing - instead of doing this monthly reconciliation we'll do it daily to make sure that you're not getting too out of hand
|
||||
|
||||
- Dr. T
|
||||
|
||||
- That's a minor technical point
|
||||
|
||||
- because every participant receives
|
||||
|
||||
- their settlement statement, an early one and then a final one;
|
||||
|
||||
- a position report and I say report because I'm old-school and it used to be paper, but now they go online and get one terminally [electronically?]
|
||||
|
||||
- when they become DTC members they agree that they are responsible every day for letting DTC and NSCC know if something is off
|
||||
|
||||
- And, if DTC or NSCC think something is off, they have 3 days to fix it.
|
||||
|
||||
- Once a month or quarter they have to physically sign a paper to say "yes we really looked at it"
|
||||
|
||||
- To say it went from monthly to daily is a technical correction because they were always responsible to do it daily
|
||||
|
||||
- Atobitt
|
||||
|
||||
- 801 ruling? The one that says if we find out your funds are not as up to date as it needs to be we can require you to update that deposit within one hour.
|
||||
|
||||
- Dr. T
|
||||
|
||||
- someone on the AMA asked a question-- if Reddit users are making a difference.
|
||||
|
||||
- I think this [801] is clear evidence that it is.
|
||||
|
||||
- When you're really calling attention to a problem and you're starting to see rule changes coming out from DTC and subsidiaries, that's evidence of an impact.
|
||||
|
||||
- Because they're looking at it and saying:
|
||||
|
||||
- "You know what? Maybe we need to check this fails balance more often because once a month wasn't enough, maybe we should do this every day because look at Gamestop-- not only the dollar value but also the number of shares exploded."
|
||||
|
||||
- Their risk can become-- can rapidly grow very quickly
|
||||
|
||||
- One other thing I want to mention is the [CSDR (Central Securities Depository Regulations), regulations in Europe](https://www.esma.europa.eu/regulation/post-trading/settlement)
|
||||
|
||||
- if you look at the website and search "CSD regulation", you'll find this information on their website:
|
||||
|
||||
- This regulation was supposed to go in 2019
|
||||
|
||||
- then delayed it to 2020
|
||||
|
||||
- then pandemic hit and it's 2021, so they pushed it back to 2022
|
||||
|
||||
- Basically, it says:
|
||||
|
||||
- YOU MAY NOT FAIL.
|
||||
|
||||
- If you fail, it's mandatory that the buyer can go into the market, get the shares, replace what you failed to deliver FTD and charge you the difference.
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- Dr. T thinks that the difference apes are making is clear when you look at the DTCC and its subsidiaries.
|
||||
|
||||
- We actually have them taking action, to combat the issues we are talking about.
|
||||
|
||||
- Making rules changes acknowledges the problem, and acknowledgment is the first step to solving it.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
HOW THE EURO-APES SAVE THE DAY
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Which is what the rule removed back in the day-- where they removed that mandatory buy-in rule within the US, correct?
|
||||
|
||||
- Dr. T
|
||||
|
||||
- no, it was always voluntary in the US
|
||||
|
||||
- Atobitt
|
||||
|
||||
- Oh, good to know.
|
||||
|
||||
- Dr. T
|
||||
|
||||
- There were some circumstances where this rule was mandatory.
|
||||
|
||||
- But they're going to make this mandatory in Europe: yes if the buy-in fails the depository will reverse the trade
|
||||
|
||||
- That's putting pressure on all the DTCC members in all categories because if they have to comply in Europe, they pretty much have to comply here too.
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Yea, it's hard to maintain two separate books there
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Right-- watching this much more closely, there's so much more going on.
|
||||
|
||||
TL:DR 🦍 Summary:
|
||||
|
||||
- Dr.T also speculated that legislation in the EU has the potential to be a driving force for further systemic change.
|
||||
|
||||
- The reason the EU legislation may be a driving force is that they seek to pass legislation to force buy-ins for failures to deliver.
|
||||
|
||||
- If it takes effect in Europe, it could ripple across the pond.
|
||||
|
||||
_____________________________________________________
|
||||
|
||||
FOR NOW, IT'S GOODBYE
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- I'm just so grateful for the encouragement that I've received from the [r/Superstonk](https://www.reddit.com/r/Superstonk/) people
|
||||
|
||||
- I mean, it's just been-- it's what keeps me going
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- I'm glad to hear you say that
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Not the outcomes, because the "what can we do next" is always hard
|
||||
|
||||
- Because it's very specific
|
||||
|
||||
- and it's not just one thing that can be fixed that's going to create the BRAND NEW WORLD
|
||||
|
||||
- There are lots and lots of things that need to be changed, and each time you call attention to one problem, you know the dark pools arise
|
||||
|
||||
- so there's always this phantom [---]
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- The big picture is beautiful
|
||||
|
||||
- Dr. T
|
||||
|
||||
- ---hide it away, right?
|
||||
|
||||
- So we can talk about doing another AMA
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- I was actually going to ask you - it's a really good transition.
|
||||
|
||||
- We could go through some solutions, but honestly, if we have some opportunity to do this again.
|
||||
|
||||
- I wanted to wrap up my end of this by saying:
|
||||
|
||||
- I'm sorry you were never able to get to this level.
|
||||
|
||||
- But now we have a quarter of a million people that are starting to beg and demand answers
|
||||
|
||||
- And that pitchfork army that you wanted to desperately is here
|
||||
|
||||
- And my question to you is: would you be open to working, at your own time, and being able to review different posts that might be submitted to you?
|
||||
|
||||
- We could work on House of Cards 2 and really start to get this stuff ironed out and get the people the tools that they need in order to get this stuff pushed in and get this taken care of
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Yeah, and [u/StonkU2](https://www.reddit.com/u/StonkU2/) have a way to send docs to me and point me to the DDs and the god-level DDs?
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Due Diligence
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Due Diligence, deep Dives
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Yup. You learn.
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- I have trouble, I'm learning-- yes I'm definitely beginning to read hieroglyphics
|
||||
|
||||
- And just going on the site and finding things out
|
||||
|
||||
- It's a bit confusing but anyway-- Yes I'm happy to do that as time allows
|
||||
|
||||
- and also you know there's quite a lot of information in Naked Short and Greedy, thank you for mentioning that
|
||||
|
||||
- But the other book, [Lessons Not Learned](https://www.amazon.ca/Lessons-Not-Learned-Financial-Markets/dp/1910151238)
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- I also have that too. Looking forward to reading that one.
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- So that's for the techies right.
|
||||
|
||||
- If you're a technical analyst, if you want to look at laws, rules, regulations, the history of how many times have we, you know, bailed out banks and brokers
|
||||
|
||||
- All that's in there (Lessons not Learned)
|
||||
|
||||
- But Naked Short and Greedy is a narrative, so I wanted to write and establish more storytelling
|
||||
|
||||
- But if you want that deeper dive, the other book would be helpful to people
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- I'm going to keep you open
|
||||
|
||||
- I'm going to be in contact with you to do that
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- You do that, yea.
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Oh by the way, FYI you've officially been dubbed the "Jane Goodall" of the ape troop now
|
||||
|
||||
- Thank you very much
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Someone called me "Queen Kong" of the Apes
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Get used to it-- you're gonna have a lot of names like that
|
||||
|
||||
- So Dr. T, thank you again so much
|
||||
|
||||
- I mean, wow, we just blew through that
|
||||
|
||||
- That was a lot of info in an hour
|
||||
|
||||
- I appreciate your time
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- That's why the book is so thick
|
||||
|
||||
- Atobitt:
|
||||
|
||||
- Well, I appreciate you so much. Thank you very much.
|
||||
|
||||
- And thank you everyone for tuning in.
|
||||
|
||||
- Look forward to the follow-up coming out-- shouldn't be too long and we'll be in touch, have a great day
|
||||
|
||||
- Dr. T:
|
||||
|
||||
- Thanks, you too. Bye-bye.
|
||||
|
||||
TL:DR 🦍 Summary: We love Dr. T, Queen Kong
|
||||
|
||||
[](https://preview.redd.it/s1ewd4aqrbw61.jpg?width=500&format=pjpg&auto=webp&s=5f7b03394cbe22fe8de9feb24e5e8e742c3dd60a)
|
||||
|
||||
credit: u/Crazy-Ad-7869
|
||||
|
||||
One final thank you here at the end, this one goes out to all the mods that helped put this together:<https://www.reddit.com/r/Superstonk/comments/n1kjaa/official_mod_appreciation_video_for_dr_t_aka/>
|
||||
Reference in New Issue
Block a user