One Year On: GameStop and the Retail Trader

One Year On: GameStop and the Retail Trader

Assessment

Interactive Video

Business

University

Hard

Created by

Quizizz Content

FREE Resource

The video discusses the meme stock frenzy, focusing on GameStop's impact on retail investors and market dynamics. It highlights how Robinhood's free commissions changed the brokerage industry, encouraging more individual stock trading. The video also explores the long-term effects on hedge funds and options pricing, emphasizing the risks of being caught short in volatile stocks.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was one of the main reasons retail investors became a smaller player after the meme stock frenzy?

Higher brokerage fees

Lack of interest in stock trading

The decline in GameStop's stock price

Increased market regulations

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How did Robinhood change the brokerage industry?

By increasing commission fees

By introducing new trading algorithms

By offering free commissions

By limiting stock trading options

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What investment strategy have retail investors shifted towards due to Robinhood's influence?

Investing in individual stocks

Investing in cryptocurrencies

Investing in ETFs and index funds

Investing in real estate

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What impact did the GameStop incident have on hedge fund strategies?

Higher investment in cryptocurrencies

More cautious short selling

Focus on international markets

Increased long positions

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How has the pricing of options been affected by the meme stock events?

Options have become more expensive

Options are no longer available

Options pricing remains unchanged

Options have become cheaper