Related Research Articles
In finance,being short in an asset means investing in such a way that the investor will profit if the value of the asset falls. This is the opposite of a more conventional "long" position,where the investor will profit if the value of the asset rises.
The Goldman Sachs Group,Inc. is an American multinational investment bank and financial services company. Founded in 1869,Goldman Sachs is headquartered in Lower Manhattan in New York City,with regional headquarters in many international financial centers. Goldman Sachs is the second largest investment bank in the world by revenue and is ranked 55th on the Fortune 500 list of the largest United States corporations by total revenue. It is considered a systemically important financial institution by the Financial Stability Board.
Citadel LLC is an American multinational hedge fund and financial services company. Founded in 1990 by Ken Griffin,it has more than $62 billion in assets under management as of December 2022. The company has over 2,600 employees,with corporate headquarters in Miami,Florida,and offices throughout North America,Asia,and Europe. Founder,CEO and Co-CIO Griffin owns approximately 85% of the firm. As of December 2022,Citadel is the most successful hedge fund of all time,posting $65.9 billion in net gains since inception in 1990.
Naked short selling,or naked shorting,is the practice of short-selling a tradable asset of any kind without first borrowing the asset from someone else or ensuring that it can be borrowed. When the seller does not obtain the asset and deliver it to the buyer within the required time frame,the result is known as a "failure to deliver" (FTD). The transaction generally remains open until the asset is acquired and delivered by the seller,or the seller's broker settles the trade on their behalf.
Joel Greenblatt is an American academic,hedge fund manager,investor,and writer. He is a value investor,alumnus of the Wharton School of the University of Pennsylvania,and adjunct professor at the Columbia University Graduate School of Business. He runs Gotham Asset Management with his partner,Robert Goldstein. He is the former chairman of the board of Alliant Techsystems (1994–1995) and founder of the New York Securities Auction Corporation. He was a director at Pzena Investment Management,a firm specializing in value investing and asset management for high net worth clients.
William Albert Ackman is an American billionaire hedge fund manager who is the founder and chief executive officer of Pershing Square Capital Management,a hedge fund management company. His investment approach has made him an activist investor. As of June 2023,Ackman's net worth was estimated at $3.5 billion by Forbes.
Seeking Alpha is a crowd-sourced content service that publishes news on financial markets. It is accessible via a website and mobile app. After a free trial period,users must pay a subscription fee to access content. Independent contributors,mostly from the buy side,write almost all of the articles published by the service and are paid based on how many subscribers access their articles. Notable contributors include Henry Blodget and Paco Ahlgren.
Denise Kay Shull is a performance coach who uses neuroeconomics and modern psychoanalysis in her work with hedge funds and professional athletes. She is also the founder of The ReThink Group. Shull focuses on the positive contribution of feelings and emotion in high-pressure decisions. She is the author of Market Mind Games which explains how Wall Street traders act out Freudian transferences in reaction to market moves. Shull postulates that human perception contains fractal elements in the same manner as the fractal geometry of nature.
Arthur Jay Samberg was an American businessman and philanthropist. He founded Pequot Capital Management and served as the chief executive officer,president and chairman of the company. Samberg's flagship Pequot fund,started in 1986,netted 17.8 percent over the life of the fund. After the fund closed,he managed his family office through Hawkes Financial. He was also a significant contributor to several hospitals and universities,including New York-Presbyterian Hospital and his alma maters Columbia Business School and the Massachusetts Institute of Technology.
Boaz Weinstein is an American hedge fund manager and founder of Saba Capital Management. He rose to prominence at Deutsche Bank in the early and mid 2000s with his credit default swap and capital structure arbitrage trading strategies. He then formed a proprietary trading group within Deutsche Bank. After leaving the bank in 2009,Weinstein started Saba Capital Management as a separate hedge fund. As of September 2022,Saba manages $4.8 billion in assets.
Pershing Square Capital Management is an American hedge fund management company founded and run by Bill Ackman,headquartered in New York City.
Muddy Waters Research LLC is an American privately held due diligence based investment firm that conducts investigative research on public companies while also taking investment positions that reflect their research. It has exposed accounting problems and fraud at several companies,primarily in China but also in other countries in Asia,Europe and North America.
Robert J. Jackson Jr. is an American lawyer and academic. He currently serves as a professor of law at New York University School of Law,where he is on public service leave. Jackson's research emphasizes the empirical study of executive compensation and corporate governance matters. On September 1,2017,the White House announced that President Donald Trump had nominated Jackson to fill the open Democratic seat on the U.S. Securities and Exchange Commission (SEC). Jackson was unanimously approved by the Senate Banking Committee for the seat,and thereafter unanimously confirmed by the United States Senate on December 21,2017.
Melvin Capital Management LP was an American investment management firm based in New York City. It was founded in 2014 by Gabriel Plotkin,who named the firm after his late grandfather.
r/wallstreetbets,also known as WallStreetBets or WSB,is a subreddit where participants discuss stock and option trading. It has become notable for its colorful and profane jargon,aggressive trading strategies,and for playing a major role in the GameStop short squeeze that caused losses for some US firms and short sellers in a few days in early 2021.
Mozelle Willmont Thompson is an American attorney who served as a member of the Federal Trade Commission (FTC) from 1997 to 2004. Thompson was the second African American to serve as a member of the FTC.
In January 2021,a short squeeze of the stock of the American video game retailer GameStop and other securities took place,causing major financial consequences for certain hedge funds and large losses for short sellers. Approximately 140 percent of GameStop's public float had been sold short,and the rush to buy shares to cover those positions as the price rose caused it to rise even further. The short squeeze was initially and primarily triggered by users of the subreddit r/wallstreetbets,an Internet forum on the social news website Reddit,although a number of hedge funds also participated. At its height,on January 28,the short squeeze caused the retailer's stock price to reach a pre-market value of over US$500 per share,nearly 30 times the $17.25 valuation at the beginning of the month. The price of many other heavily shorted securities and cryptocurrencies also increased.
A meme stock is a stock that gains popularity among retail investors through social media. The popularity of meme stocks is generally based on internet memes shared among traders,on platforms such as Reddit's r/wallstreetbets. Investors in such stocks are often young and inexperienced investors. As a result of their popularity,meme stocks often trade at prices that are above their estimated value –as based on fundamental analysis,and are known for being extremely speculative and volatile.
Citadel Securities LLC is an American market making firm headquartered in Miami. It is one of the largest market makers in the world,and is active in more than 50 countries. It is the largest designated market maker on the New York Stock Exchange. Citadel Securities is a separate entity from the hedge fund Citadel LLC,although both were founded and are majority owned by American hedge fund manager Kenneth C. Griffin. Citadel Securities is expected to eventually move its headquarters from Chicago to Miami,having bought land there to build its new headquarters.
Victor Fleischer is a professor of law at University of California,Irvine School of Law known for raising awareness of the carried interest tax loophole.
References
- 1 2 "Joshua Mitts". www.law.columbia.edu. Retrieved 2022-04-25.
- ↑ Celarier, Michelle (2022-02-12). "Are Activist Short Sellers Misunderstood?". The New York Times. ISSN 0362-4331 . Retrieved 2022-04-25.
- ↑ Baer, Liz Hoffman and Justin (2022-02-16). "WSJ News Exclusive | Justice Department Targets 'Spoofing' and 'Scalping' in Short Seller Investigation". Wall Street Journal. ISSN 0099-9660 . Retrieved 2022-04-25.
- 1 2 3 Prentice, Chris (2022-03-18). "How a Columbia professor became the scourge of activist short sellers". Reuters. Retrieved 2022-04-25.
- ↑ "Columbia Law School Embroiled In Short Sales Kerfuffle". Above the Law. 2022-03-21. Retrieved 2022-04-25.
- 1 2 Korn, Liz Hoffman and Melissa (2022-03-19). "Carson Block's Latest Short Target Is a Columbia Law Professor". Wall Street Journal. ISSN 0099-9660 . Retrieved 2022-04-25.
- ↑ "Columbia Law Professor Joshua Mitts is the latest short target of Carson Block". The Economic Times. Retrieved 2022-04-25.
- ↑ Academics Question SEC Meme-Stock Narrative , retrieved 2022-04-25
- ↑ "Gaming GameStop: Faculty Experts Weigh in on Reddit and Meme Trading". www.law.columbia.edu. Retrieved 2022-04-25.
- ↑ "Meme-Stock Frenzy Gets a Fresh Look That Questions SEC Narrative". Bloomberg.com. 2022-02-14. Retrieved 2022-04-25.
- ↑ Jackson, Jr., Robert J.; Mitts, Joshua (6 December 2023). "Trading on Terror?". SSRN Electronic Journal. doi:10.2139/ssrn.4652027 . Retrieved 29 December 2023.