Traders in India are engaged in the sale of products A trip from GameStop Corp. which has ravaged equity markets.
The video game retailer ranked among the top five best-selling names last week Stockal, a platform for Indian retail investors to trade US equities. GameStop accounted for about 15% of all trades on the platform, Sitashwa Srivastava, co-founder and chief executive officer, said in an interview.
“We didn’t expect Indians to be on Reddit, reading about GameStop,” Srivastava said. Unlike many of their WallStreetBets counterparts, which are very heavy on options, Indian traders are not allowed to take leverage while trading foreign stocks, he said. “All are listed in cash”.
GameStop has exploded on the trading screens, with shares up more than 1,700% this year. Driven by conversations of traders in forums and the “Gamestonk !!” of Elon Musk tweet, has surprised professionals and compressed shorts to the main hedge funds.
TO READ: Michael Burry calls GameStop rally “Unnatural, Insane” (3)
As in other markets, with more Indians staying inland since the pandemic arrived, many have flocked to domestic and foreign stock markets, prompting an increase in retail investment. According to Stockal, his favorites in the United States have been those of Tesla Inc. and Apple Inc., with vaccine maker Covid-19 Moderna Inc. and Chinese electric vehicle firm Nio Inc. which have increased the ranking in recent months.
A Winvesta, another platform aimed at individual Indian investors, exposure to FAANG shares in customer portfolios has dropped by an average of 13%, from 18% in October, said Swastik Nigam, CEO .
TO READ: Faang Stocks Slips on Regulatory Issues, Concern for Reflection (3)
In China, GameStop and AMC Entertainment Holdings Inc. were the most traded U.S. names Wednesday in a Shenzhen-based Futu Holdings Ltd. trading app that serves individual investors in mainland China and Hong Kong.
“Real skin”
Bombay-based marketing consultant Dipe Chatterjee says he has bought GameStop and Tesla in recent months, earning 150% of his $ 1,000 investment in the gaming store earlier this week before quickly booking profits .
“It’s a game with real skin,” he said.
Previous RedSit WallStreetBets forum it went out briefly amid a wave of new participants. The site had amassed more than 3 million members while day traders connected GameStop-run businesses.
– With the assistance of Nupur Acharya and Moxy Ying
(Add comments from the CEO of Winvesta in the sixth paragraph.)