Negative $700K on Robinhood account

[Bubba_s]

I wish we didn't feel like money meant so much. The vast majority would literally starve to death without grocery stores and grocery stores are corporations, so we wither away and die without corporations. That's ridiculous. I wish we had markets like the rest of the world. Many people grow things, then trade or sale, and simply "living" becomes much less reliant on a little piece of paper or shiny piece of metal.

So much of this. We're heading into Rollerball territory with corporations owning everything. The only difference will be that Rollerball is replaced with UFC.




I can't wait to water my garden when I get home.

I need to do more winter gardening...

 

[AbsolutEnduser]

What option do you think is missing here in the bay area? What place would you cite as an example of what you'd like?

he means farmers markets/ They are far and between and many are VERY VERY expensive.

heck there are even ones in bumblefk places that are... artisan, and overpriced (and some items useless.)

that's because food production is far far far? due to the fact that the houses are spread spread spread? And BTW.. on top of all zoning :facepalm

 

[asdfghwy]

Maybe. I really think that gamification is not a good thing for stock trading though. It makes it way too easy for someone who doesn't know what they are doing wade way too far into risky and unpredictable betting instead of more sound and stable investment strategies.

The ideas there are crazy insane and impractical. Once in a while one of them works but it’s bevause of pure luck.

I agree. But this is the 'culture' people are skewing to. YOLO options that'll make you millions or financially devastate you. It's not practical nor logical and I wouldn't be surprised in the slightest at all if this kid was on WSB

 

[Killroy1999]

Why shouldn't they? They don't see a vastly successful middle and upper middle class anymore, we've offshored that to China and India. They only see poor and the lottery winning extremely successful. You're either in poverty or you're Post Malone or Machine Gun Kelly or Lebron James. There is no inbetween anymore.

https://www.businessinsider.com/american-kids-youtube-star-astronauts-survey-2019-7

That's interesting. China must have some exciting manned space missions planned.

Here in the US, space missions have not been that exciting to the general public. It also did not help that the 2 space shuttles were destroyed with its crew. Yet, some space dreamers in the US did gather enough wealth to start private rocket companies which is making a difference in space missions.

I do think that being a YouTuber is a great profession: In business for yourself, being your own boss, doing your passion, an alternative to main stream media. Many money outside of W2 income does have a lot of tax advantages.

 

[asdfghwy]

That's interesting. China must have some exciting manned space missions planned.

Here in the US, space missions have not been that exciting to the general public. It also did not help that the 2 space shuttles were destroyed with its crew. Yet, some space dreamers in the US did gather enough wealth to start private rocket companies which is making a difference in space missions.

I do think that being a YouTuber is a great profession: In business for yourself, being your own boss, doing your passion, an alternative to main stream media. Many money outside of W2 income does have a lot of tax advantages.

You also have youtubers <10yo that do toy unboxings and make millions of dollars a year, so there's that

 

[Archimedes]

Entice young people with little money and no investment training to put their money in some of the most risky investments available. What could go wrong? I don't think anyone could have foreseen this...

Robinhood. It's like DraftKings, only riskier.

 

[DannoXYZ]

Robinhood's platform sucked! Slow execution speed, they front-run all your orders, horrible slippage. Their estimated mark-to-market values of your account is completely bogus. I'm looking at last-trade prices on stocks, options, futures from actual exchanges and RH's quotes don't even match! Idiot outfit should be sued into bankruptcy!!!

Even if he was long bull put-spread as they claimed, he had limited liability on short put position by offsetting with long put at lower strike-price. Most he woud lose is difference between those positions. Damn RH's stupid accounting just didn't reflect what's really happening in markets.

 

[mikev]

:laughing

Because it is idiotic?

Years of being told go to school, get good grades, go to college, take out student loans, finish school, and go out and get a job, and that's the way to make it in the world. Go out there and get your wife, your house with a picket fence, your 2.5 kids, and your dog.

But in reality, you have 22-24 year olds graduating with a fuckton of student loan debt and a shitty job market meaning employers can pay crap salary making it impossible to pay off debts, let alone actually get ahead.

Almost 2 full generations now being fed this crap. It's no wonder kids are starting to turn to other methods to make money. They've been lied to for decades.

 

[cfives]

...

Almost 2 full generations now being fed this crap. It's no wonder kids are starting to turn to other methods to make money. They've been lied to for decades.

At the very least, college can be a decent networking opportunity. Kids that do not understand, and capitalize on that aspect of higher education, probably are not going to have better luck in the stock market.

 

[mikev]

At the very least, college can be a decent networking opportunity. Kids that do not understand, and capitalize on that aspect of higher education, probably are not going to have better luck in the stock market.

if you go to the "right" school

if you pledge the "right" frat

if you have the "right" friends

if you're from the "right" family

 

[NorCalAthlete]

I'm confused - why wasn't filing bankruptcy an option here?

"welp, $700k down the drain and I can only cover $100k. Peace out."

I mean sure bankruptcy isn't exactly easy or pretty either and he'd have a rough next few years getting back on his feet, but...

 

[ScarySpikes]

I'm confused - why wasn't filing bankruptcy an option here?

"welp, $700k down the drain and I can only cover $100k. Peace out."

I mean sure bankruptcy isn't exactly easy or pretty either and he'd have a rough next few years getting back on his feet, but...

You are misunderstanding. He didn't understand the platform or what he was doing, and he made a rash decision because of what he saw. The entire '700k down' this was not an accurate representation of his overall position.

 

[NorCalAthlete]

I know, and that's even worse. My question is even if he WAS $700k down, for realsies, why bankruptcy wouldn't be an option. Why skip that step and go straight to suicide?

 

[DannoXYZ]

At the very least, college can be a decent networking opportunity. Kids that do not understand, and capitalize on that aspect of higher education, probably are not going to have better luck in the stock market.

if you go to the "right" school

if you pledge the "right" frat

if you have the "right" friends

if you're from the "right" family

Yeah, all those studies are average results. Closer examination of data shows you really need to have navigated higher education the "right" way to actually get those benefits. A lot people are worse off due to time off from working job market and having to pay for student loans. In may cases, it'd be better to get on ground-floor right out of HS and working your way up through years of hard work.

 

[SFSV650]

reddit.com/r/wallstreetbets

The ideas there are crazy insane and impractical. Once in a while one of them works but it’s bevause of pure luck.

I'm reading it all as satire and parody; am I wrong?

 

[Archimedes]

Years of being told go to school, get good grades, go to college, take out student loans, finish school, and go out and get a job, and that's the way to make it in the world. Go out there and get your wife, your house with a picket fence, your 2.5 kids, and your dog.

But in reality, you have 22-24 year olds graduating with a fuckton of student loan debt and a shitty job market meaning employers can pay crap salary making it impossible to pay off debts, let alone actually get ahead.

Almost 2 full generations now being fed this crap. It's no wonder kids are starting to turn to other methods to make money. They've been lied to for decades.

Yeah, no need to take a fuckton of student loan debt or even take a shitty job to get ahead. Pick a school you can afford and work your ass off to get the job you want. Over the years I've hired people from second/third tier schools over top tier candidates, because they showed me how hard they had worked to be prepared for the job and to excel. You don't have to go to Stanford or Berkeley to get ahead. In fact, most of the rags to riches stories don't involve a top tier college degree. Just a shit load of hard work and effort. But as the saying goes, whether you think you can do it or not, you're right.

 

[NorCalAthlete]

I'm reading it all as satire and parody; am I wrong?

There's a lot of shitposting but if you do your own due diligence there are some nuggets of knowledge to glean from there. Moreso on process than tickers, but I've made a decent chunk of change trading options over the last few months. I'm up 40%-ish overall which is not bad in a market that's tanked.

 

[Archimedes]

At the very least, college can be a decent networking opportunity. Kids that do not understand, and capitalize on that aspect of higher education, probably are not going to have better luck in the stock market.

Unless you are going to an top tier school and playing the elite circuit, the networking thing is massively overrated. Smart people use college to build a foundation of relevant, practical learning for the rest of their lives. Smart people work during college to earn some money, rather than playing and getting drunk all the time. Smart people start to prepare themselves for the next chapter in their lives before they leave college, rather than waiting until graduation day and then wondering 'what's next'. Smart people treat college, whatever college, as a vocational school, not a finishing school. They go to learn some marketable skills rather than ponder the cosmos.

"Gee sweetie, I'm so glad that you decided to major in Art History, with a minor in Anthropology at Brown" said no parent ever.

 

[GAJ]

Yeah, no need to take a fuckton of student loan debt or even take a shitty job to get ahead. Pick a school you can afford and work your ass off to get the job you want. Over the years I've hired people from second/third tier schools over top tier candidates, because they showed me how hard they had worked to be prepared for the job and to excel. You don't have to go to Stanford or Berkeley to get ahead. In fact, most of the rags to riches stories don't involve a top tier college degree. Just a shit load of hard work and effort. But as the saying goes, whether you think you can do it or not, you're right.

Have to agree considering the large number of nieces/nephews/sons of friends/daughters of friends/kids of ex employees etc. etc. who have made a successful career for themselves in all fields of work.

Government/medical field/medical testing/high tech/law enforcement/education/engineering, the list goes on and on.

Only one of them graduated from an elite school.

 

[ScarySpikes]

I know, and that's even worse. My question is even if he WAS $700k down, for realsies, why bankruptcy wouldn't be an option. Why skip that step and go straight to suicide?

It's at least likely that there were underlying psychological issues, and this was a trigger. Really, he was a 20 year old kid, he probably saw that number and made a rash, and bad decision without really thinking it through.

It's horrible, and I think that Robinhood and these apps that turn stock trading into a game need to rethink how they market, how they set up their UI, etc.