Rookie Trader Racked Up $700K In Debt

Discussion in 'Wall St. News' started by ironchef, Jun 14, 2020.

  1. Nobert

    Nobert

    The amygdala, brain part, which is responsible for the sense of responsibility, for some of us, is growing up/forming till 30 y/o.
    Combine that with average iq & there's a delusional - half kid.
    It was a financial rape.

    The CEO of RH , could make it public that it will be ,,forgiven" for him (boooost in public rep) & from now on, new rules will apply, so the nonsense like this, would never happen again.
     
    #51     Jun 15, 2020
  2. Girija

    Girija

    I don't comprehend how these ppl got the leverage in the first place.
     
    #52     Jun 15, 2020
  3. Amun Ra

    Amun Ra

    More than likely the kid got his options exercised and just saw a negative cash balance and didn't understand he had $700k in shares. Like this.


    EaZ60DSWkAMQmCd.jpg
     
    #53     Jun 15, 2020
    userque, SteveH, kinglion and 2 others like this.
  4. d08

    d08

    I don't mind one broker tightening things up but it's often the regulator that can implement some inane changes. The idea is still "system is to blame, not him" and that's problematic.
     
    #54     Jun 15, 2020
  5. southall

    southall

    If that was really the case, and that was really the reason he took his own life, then the kid deserves a Darwin award for eliminating himself from the gene pool :confused:. I only say that because i cant believe that would be the case.
     
    #55     Jun 15, 2020
  6. Amun Ra

    Amun Ra

    He was a 20 year old unemployed kid that probably spent a lot of time on wallstreetbets. You gotta give him a break. There are a lot of people very ignorant about options and what they even are. Robinhood is also a shit app that doesn't really give you any insight into your balance/margin/equity all on one screen like every other broker.

    The uncle posted on twitter that is what he thinks happened because how else can you get a negative $700k balance?
     
    #56     Jun 15, 2020
  7. Cuddles

    Cuddles

    He should incorporate & issue bonds. I hear the fed's buying
     
    #57     Jun 15, 2020
    trader99 and SunTrader like this.
  8. Snuskpelle

    Snuskpelle

    Agreed. My favorite example of regulation gone too far for retail is PDT which is directly harmful to risk management and systematic trading. Another is the EU prohibiting me as a EU citizen to trade American ETFs (like WTF).
     
    #58     Jun 15, 2020
    zenlot, d08 and Nobert like this.
  9. BAT31

    BAT31

    Dodd-Frank needs to be amended...
     
    #59     Jun 15, 2020
  10. Nobert

    Nobert

    Damn. Didn't knew that he suicided.
    (haven't finished reading those tweets, i know, i know... :banghead: )
    Thought that he ,,just'' lost. Now looking back at comments that i wrote, looks like the one on drugs thyself.

    Not worth loosing over truly. But young folks suicide for lesser things.

    After a break-up, being humiliated in public, damn, this girl :

    e.PNG

    - due corona fear. (not only because of that, but because there was noone next, with clear mind/rational thinking, to calm her down)
    https://www.elitetrader.com/et/threads/uk-teen-19-suicide-due-cv-fears.342329/


    Part of the life. Some, biologically, has just not enough of dopamine receptors (whatever it is that produces it), so from the moment that they're born, they're basically ,,doomed'' to be always slightly sad.
    Simply put, some will experience happiness at 10/10
    and some will be sealed to 7/10 (at the best case scenario)
    From which comes slightly suicidal thoughts that evolve into the darkest depression.
    My best friend's girl suicided recently , 27 y/o, beautiful woman. Nothing helped.
    Saddest part, family and he, kinda saw it coming for a year.

    Sad. But, one can only accept the reality as it is.
     
    Last edited: Jun 15, 2020
    #60     Jun 15, 2020