By Martin Greweldinger, co-CEO of Avaloq
The extreme trading in internet-touted shares such as GameStop, fuelled in part by so called ‘subreddit’ communities of traders like WallStreetBets, has put the risks faced by short-termist retail investors – indeed, all retail investors – onto the front pages of the financial press in 2021.
The challenge for wealth managers and banks catering to retail investors, particularly ones that may be lured into taking on more risk in the hope of making a quick return, is to both harness their eagerness while emphasising the need for a disciplined, long-term approach to ...