Link: https://marypatcampbell.substack.com/p/gamestop-frenzy-lessons-dont-bet
Graph:
Excerpt:
The failures we hear about are when staid institutions that have existed for centuries have done something incredibly risky, leading to serious consequences.
When it comes to institutional money management…. this kind of speculation is not really in keeping with professional standards, depending on the institution.
We may find that some institutions were betting the milk money by putting too much of their cash in very risky investment strategies. But really, only if they have to absorb the losses. Perhaps various players will save Melvin Capital et. al. You never know.
Author(s): Mary Pat Campbell
Publication Date: 6 February 2021
Publication Site: STUMP