All this essentially means is that short sellers will be required to have more cash at hand as collateral. In addition to descriptive data, performance of the investment Source: LCH Investment NV estimates, Top Hedge Fund Managers by Net Gains Since Inception as of 12/31/2022. - YouTube In this video we discuss all the numbers pointing to the squeeze and hopefully a margin call on the horizon. But how long could they do that while paying interest for borrowing shorts? A 100% margin requirement is when a broker, such as Charles Schwab, requires the short seller with a margin account to have the funds available to cover the exact amount being exercised.. Regulators are going to start demanding higher margin requirements as collateral. sea of thieves full server alliance. Well, that is until the price of GME went up. Earlier in March we saw another notorious hedge fund known for shorting AMC pull $2 billion from Gabe Plotkins Melvin Capital. Here I engage my community one on one and discuss AMCs price action, Read: AMC margin call: the squeeze is inevitable, Read: AMC short squeeze price: Expectations vs Reality, Business News, Community, Finance, Finance News, Investing News, Ken Griffin, Market News, Meme Stocks, Reddit Stocks, Stock Market News, AMCAMC EntertainmentAMC Margin CallAMC NewsAMC Short Squeeze NewsAMC StockAMC Stock Newsr/wallstreetbetsWallstreetbets. Citadel Securities is one of the main market makers. You know what happens if they cant cover right? You summarized it really well. https://www.investopedia.com/terms/m/maintenancemargin.asp. A margin call is a warning that you need to bring your margin account back into good standing. This news was reported as of August, via WccFTech. It focuses entirely on the $3 billion margin call that Robinhood received. Im active on all of my accounts and publish content regularly. - Franknez.com, Citadel Loses Billions: Hedge Funds Are Getting Dragged Down - Franknez.com, When Do Shorts Have to Cover Their Positions? This company is tweeting more than Elon Musk these days. A margin call is a broker demand requiring the customer to top up their account, either by injecting more cash or selling part of the security to bring the account to the required minimum. When the market moves against your open positions, your margin level falls. The firm posted multiple, consecutive losses and its share price dropped. When a margin call occurs, the investor must either add funds to their account or liquidate (sell) some of their assets in that account. Regardless, the numbers add up and the rabbit hole leads to kens back yard. Reddit and its partners use cookies and similar technologies to provide you with a better experience. It is one that I comprehend. $3600 $2000 = $1600 You will have a $1,600 margin call. What the fuck. Citadels motives will become clear as this squeeze begins to unfold. (, Here is the email from 5:11 AM ET on January 28th alerting Robinhood to the $3 billion margin call. If we havent connected on Twitter, Facebook, or Instagram lets take the opportunity to do so today! An investor's margin account contains securities bought with a. All while taking the opportunity to make a life changing trade as AMC Entertainment boils for a short squeeze. $12,000*30% = $3600 amount of equity you were required to maintain. Key people You should share this on reddit yourself! A margin call will ensure they have no money left so I personally think AMC is Citadels collateral, or emergency fund post squeeze. Margin Call? Whats that? And theyve subsequently managed Melvin Capital to the ground. These banks can now get 2.5% of that 43 million shares.sounds like banks have skin in the game. Investors shorting AMC and GameStop stock are estimated to have lost $754 million on Tuesday 5/25 of last year alone, via ORTEX. However, even if hedge funds are able to keep enough capital in their margin accounts to keep them afloat, at some point theyll have to cave in. How soon will hedge funds get margin called? View the latest AMC options chain and put and call options prices at MarketBeat. And we are now 5 months and change into the year. The SEC has heard you and theyve been looking into hedge funds overleveraging their positions in AMC stock and other meme stocks. These institutions are beginning to deleverage. Citadel Advisors Llc has a history of taking positions in derivatives of the underlying security (AMC) in the form of stock options. Powerful predictive models. 2022-02-14 Citadel Advisors Llc has filed a 13F-HR form disclosing ownership of 3,589,146 shares of Clover Health Investments Corp Class A (US:CLOV) with total holdings valued at $13,352,000 USD as of 2021-12-31. This group of retail investors only know forward. Furthermore, hedge funds are drowning every day retail investors hold the stock. Related: Anchorage Capital closes after betting against AMC stock. The company continues to dance around the questions being asked by investors, and is seemingly trying to move the goalposts away from the topic of when Citadel knew of Robinhood's plans towards Robinhood's own margin call issue. :), Free Live Daily Updates: AMC Short Interest Today + more. institutional sentiment by plotting the ratio of puts to calls. Youve bought the rips and dips but most importantly, youve held on. Biobillionair: Did the big banks just margin call Citadel? 13 Apr 2023 . Theres no set repayment schedule with a margin loanmonthly interest charges accrue to your account, and Also, a little message for Ken Griffin at Citadel. AUM According to a new report from Credit Suisse, Many margin investors are familiar with the routine margin call, where the broker asks for additional funds when the equity in the customers account declines below certain required levels. AMC is currently trading around $14 today. Seems like Citadel is both a player and a referee in a sports event. And its costing their clients a lot of money. Our government and brokers are seeing Wall Street is over leveraged so I dont see how Wall Street can provide a rebuttal. Answer: You dont. More Counter DD (thanks to u/diskodik for pointing this out): https://www.reddit.com/r/GME/comments/n5pj2q/negative_1_million_on_volume_afterhours_wtf/?utm_medium=android_app&utm_source=share, My best guess against it: They started to run into problems because Citadel was in the process of getting margin called and it started to fuck with their processing due to the fact Citadel is one of the largest Market Makers for the NYSE. ape weak alone but together strong.. Another great article for the MMTLP community. Who initiated the bloodless revolution in India? New to Shacknews? Who were the counter parties? To that end, In addition to reporting standard equity and debt issues, institutions with more than 100MM assets under Citadel Securities - Next-Generation Capital Markets Firm Incredible people. Citadel just recently bought AMC stock leaving many retail investors curious behind their motive. According to a new report from Credit Suisse, it gave troubled hedge fund Archegos Capital Management weeks to meet a margin call. AMC community, you were loud and they heard you. It took over a month for us learn Archegos got Margin Called. You may choose to sell some of your securities to cover the required amount. Skip to main content. the historical put/call ratio for this instrument. Know what the margin requirements are even before you place ANY order. Margin Call is a notification which lets you know that you need to deposit more money in your trading account, or close losing positions, in order to free up more margin. The hedge fund has been notoriously shorting AMC stock Alright ladies, listen up. Sitting here waiting for my paycheck to come in to buy more AMC. With a surge of retail investors in the stock, the SEC is finally cracking down on hedge funds. If you reach a margin call, we will close all of your open trades and suspend trading in your account. Not investing in the stock market yet? Not just when a company bankrupts but any entity with a market maker, HF, and god knows how many institutions and politicians and regulators under the same thief-mart pair of shorts? Another great article for the MMTLP community. That said I appreciate the ape language. Apr 18, 2023 7:30 AM, Harvard University Robotics and AR/VR Workshops Showcase ARway.ai, Snap, and Magic Leap's Spatial Computing and AR Platforms Capabilities These are much better numbers. Or will they default? management must also disclose their put and call option holdings. AMC saga. :), Wall Street Threatens to Sue SEC if New Proposals Pass, AMCs Cost to Borrow Skyrockets to 1,000%, The Game is Rigged Says Ex-Citadel Data Scientist, Congress Now Investigating Naked Short Selling Fraud, Robinhood Sued in New Class Action Lawsuit, Transcripts Now Reveal Big MMTLP Fraud Investigations, Free Live Daily Updates: AMC Short Interest Today + more, This news was reported as of August, via WccFTech, Short Interest Updates for AMC, GME, MULN, BBIG + more, Anchorage Capital closes after betting against AMC stock, How do hedge funds manipulate the stock market, The hedge fund received a $1.2 billion lifeline, 90%-95% of retail market orders are executed in dark exchanges, Deputy Global Treasurer resigns from Citadel, AMC margin call: the squeeze is inevitable, Gary Gensler Expected to Answer Inquiries on MMTLP, Hester Peirce Lost for Words on MMTLP Scandal, Vinco Urges Investors to Approve New Dilution Proposals, Congressman Introduces Legislation to Fire Gary Gensler, AMC's Cost to Borrow Skyrockets to 1,000%, The SEC Has Approved FINRA's New Expungement Proposal, Everything You Need to Know About an AMC Short Squeeze. 2022-02-14 . That hedge fund was Citadel. JP Morgan is warning hedge fund clients that it will demand they post more cash at any time during the day if their trades lose value. Apr 18, 2023 8:04 AM, FDCTech's (OTCQB: FDCT) 2022 Annual Report Highlights: Record revenue and gross margin set the platform for future profitable growth. When a margin call happens . EDIT # 2: This post should have been titled "Time Horizon on Citadel *Running out of Share Borrow Fees in a Sideways Trading Context" since technically, that's what I attempted to work out, not when a margin call would kick in. Click here to learn how! Passively-managed funds do not typically buy options, so the put/call This movement is about to get on a whole other level of excitement. 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