Citadel’s customers are in for a massive shakeup entering 2022.
The hedge fund just updated their liquidity terms for all investors and the institution continues to lose money on bets they’re not willing to close.
They are limiting quarterly withdrawals to 6.25%, meaning it would take 16 quarters, or four years to fully pull out unless the client is willing to pay a fee.
Unless Citadel Securities closes their heavily shorted positions in both AMC and GME, clients are in for more losses leading into 2022.
Should clients pull out?
It’s definitely worth considering.
Welcome to Franknez.com – hedge fund Citadel Securities has just made a desperate attempt to keep their clients’ money. Desperate times call for desperate measures.
Let’s get started!
Community, this is massive.
Aside from setting tighter restrictions on withdrawals, Citadel Securities is also giving their clients an ultimatum.
Citadel Gives Desperate Ultimatum to Customers
Citadel’s funds are currently closed to new investors, so if someone quits, they might not be allowed back in the future.
The hedge fund has given this desperate ultimatum to its customers in efforts to hedge against losing bets.
Citadel Securities has lost billions of dollars all year betting against AMC and GameStop.
Retail investors have been fighting this adversary from trying to bankrupt two of America’s favorite companies.
The hedge fund has been notoriously shorting AMC stock despite all talks of bankruptcy officially off the table since early 2021.
Citadel is not stopping despite billions in losses.
And it’s costing their clients a lot of money.
Now, Citadel Securities is making it tougher for their clients to withdrawal their investments.
Citadel will eat every single one of its clients’ dollars to fight retail investors.
Will Citadel Keep Losing Money?
The entire stock market has been volatile in general.
However, Citadel Securities has amounted billions of dollars in losses due to overleveraging short positions in AMC stock.
Retail investors continue to buy and hold the stock until this hedge fund closes the millions of borrowed shares they have open.
And until they do, customers will continue to face significant losses entering 2022.
Clients can expect to see the same pattern from 2021 if Citadel Securities does not cut their losses.
AMC is not the only stock incurring losses to the hedge fund.
Citadel Securities’ business model is built on shorting stock to earn money on the downside.
And that’s the problem, they’re betting on losers instead of winners.
Should Clients Pull Their Money Out?
Citadel Securities is one of the largest hedge funds in the world.
They’ve created massive systemic risk for the entire U.S. economy.
Hedge funds such as Millennium, Susquehanna, and 638 are also at risk.
This list of hedge funds shorting AMC stock are playing with their customers money.
Clients have a better chance at yielding returns by opening a brokerage account and investing in an index fund every month.
More of the general public is learning how to invest in stocks.
They’re not looking for hedge funds to play with their money.
They are taking accountability and researching where their money can grow both short-term and long-term.
Analyst Says ‘Buy GME and AMC’ Before Evergrande Crash
A veteran credit analyst is encouraging buying GME and AMC shares to hedge against a market crash.
In this article I discuss why the possibility of AMC and GME experiencing a MOASS is very likely due to an Evergrande crash.
Now, Dr. Marco Metzler, an advisory board member of the German Market Screen Agency says crypto and ‘meme stocks’ can yield a massive opportunity for investors.
Retail investors in the AMC and GME community have been right all year.
Overleveraged positions, dark pool trading, naked shorting, negative beta, all of it.
AMC and GME stock are going to experience massive short squeezes and hedge funds betting against these two stocks are about to cause severe losses for their clients.
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