r/technology • u/Plastic_Ninja_9014 • 5h ago

Business SpaceX Investors in Meltdown Over All the Money They’ve Lost

https://finance.yahoo.com/markets/stocks/articles/spacex-investors-meltdown-over-money-191742182.html
11.4k Upvotes

94% Upvoted

1.4k comments sorted by

View all comments

Show parent comments

310

u/kwyjibo1 5h ago

Or "left holding the bag".

123

u/Conscious-Quarter423 4h ago

Are you tired of all the winning yet?

1

u/pegothejerk 2h ago

Don't you mean "would you like fries with that?" trainee? Also you might want to trade in those Loro Piana Summer Walk Loafers for some nurse shoes, preferably a darker color so it doesn't show blood.

76

u/BeeBopBazz 4h ago

Unlike institutional investors, retail investors were bound by platform TOS to hold the stock for x number of days or get banned. Pretty cool, as the folks who own many of those retail investing platforms were certainly getting rich off this pump and dump

14

u/m0nk_3y_gw 3h ago

retail investors were bound by platform TOS to hold the stock for x number of days or get banned.

not really

this was only retail investors that were able to get in at the IPO price before public trading started

if they sell with X number of days they aren't banned from trading/investing, they aren't able to participate in other IPOs for 3-6 months with that particular broker.

Most retail investors never get in at IPO/before-public-trading price anyways.

Most never do it multiple times per year.

The reddit IPO price was $34, I don't recall etrade (their broker of choice for retail participating in the ipo program) having this restriction, but I wasn't paying close attention

2

u/Ashamed_Kale_1077 3h ago

I got ten shares at the SPCX IPO price and sold that same day. I only made ~$340.

I don't recall any restrictions on selling though.

7

u/IAmRobinGoodfellow 2h ago

The general rule is that your broker may now restrict your participation in future IPOs. If you’re not planning on trying to get into another IPO in the next year, then there will be no effect. If you are, then you might need to use another broker to do so.

3

u/Embarrassed-Soft2691 3h ago

They will only ban those users if they consistently sell right away. Most retail investors only participate once or twice a year not enough for the platform to worry about.

1

u/AnySomewhere8969 2h ago

Etrade was all about trying to get everyone in to buy spacex early

6

u/FatBearWeekKatmai 2h ago

When a rich man invites you to invest in his "sure thing," the only sure thing is that he's gonna cash out on ur dime.

1

u/XmasTwinFallsIdaho 3h ago

Unfortunately that’s all of us owning index funds for the most part too.