Tag: Hedge Funds (Page 1 of 2)

Bank of America Has Been Illegally Shorting AMC Stock

Bank of America has been shorting AMC Stock

If you bank with Bank of America chances are they’ve been using your hard-earned money to short AMC stock.

Financial institutions have been shorting AMC stock all year, resulting in billions of dollars in losses.

Bank of America also has a 75% probability of going bankrupt according to MacroAxis (more on that below).

The shorting of meme stocks could explain why the bank is currently facing liquidity issues.

Franknez.com Bank of America bankruptcy

Welcome to Franknez.com – so much information is coming to fruition. I’m piecing bits of information that have been revealed in the last few months.

Let’s get started!

Information from one of my articles has been circulating the entire community recently.

In this article, I go over how AMC continues to be the most shorted stock in the market. This is going to be a very important piece of info.

Bank of America Is Shorting AMC Stock

Bank of America is on the list of the top 10 institutions shorting AMC stock.

BofA is known for being an untrustworthy bank for the people, so it comes as no surprise.

They’ve been cheating the system by demanding printed money from the feds to lend to short sellers.

The insane part of this scheme is that everyone is a part of it.

I’ll touch topic on that below.

Bank of America shorting AMC Stock
SOURCE

A lot of the puzzle pieces seem to be connecting now.

Boston and Dallas Fed presidents Kaplan and Rosengren were fired due to investing in securities while playing a major role in creating monetary policy.

Repos have been at record high this year.

The feds have been pumping so much money into the financial systems for banks and hedge funds to maintain margin requirements from.

Hedge funds have been overleveraging their positions due to betting against retail investors who aren’t giving up the fight for a fair market, and a short squeeze play in their favorite ‘meme stocks’.

Now, 34 of the largest banks are being required to hold $1 trillion in capital, enough to be able to loan mortgages and business loans during an economic downturn such as a recession.

Will banks margin call hedge funds to meet the new capital requirements as of October 1st?

Or will they default?

Hedge Funds Just Got Smaller

We’re beginning to see financial institutions throw other institutions under the bus.

Citadel began pointing fingers towards Robinhood during a rant on Twitter.

I think very soon we’re going to see banks do the same towards hedge funds.

Will hedge funds be able to pay back banks?

Someone has to pay back the overleveraged debt they owe.

What started from a Robinhood and Citadel scandal just climbed the hierarchy and is now involving both the banks and feds.

This could be the biggest financial scandal in history.

Is America Headed Towards Financial Collapse?

Janet Yellen Hedge Funds

Janet Yellen just recently said, “there are issues relating to hedge funds and the possibility of leverage, they can trigger financial runs.”

So, we know that any chance of financial ruin in the markets is tied to overleveraged hedge funds and financial institutions.

Hedge funds have been borrowing money from both the banks and the feds.

The feds weren’t stopping overleveraged institutions from borrowing money, but rather contributing to their needs and gaining from them, as seen with Kaplan and Rosengren.

It seems leaders are washing their hands before these scandals continue to escalate.

A substantial portion of Citadel’s assets are held by Bank of America’s clearing house “BAML“.

Powerful leaders are fleeing the crime scene. Who are the first to flee a sinking ship?

Leave a comment below if you know the answer to this one.

Will Bank of America Go Bankrupt?

Bank of America has a ‘more than 75%’ probability score for bankruptcy, via MacroAxis.

The fact is there is no path that can save overleveraged institutions or short sellers betting against retail investors right now.

The future of the short seller is grim.

Bank of America bankruptcy

To make matter worse for the bank, retail investors are pulling their money out from the bank before things get a little more severe.

In fact, one of my personal family members just moved 98% of their money from BofA into a brokerage account.

Overleveraged hedge funds and banks will be the cause of the next financial collapse.

Something massive is coming very soon and I know the community can feel it.

I speculate paper-hand sellers will soon re-enter the markets as the first wave of short sellers begin to close out their positions.

This momentum will only further complicate the state of emergency these financial institutions are currently in.

What Happens If A Bank Goes Bankrupt?

If a bank goes bankrupt, the FDIC must collect and sell the assets of the bank and settle its debt.

For AMC and GME shareholders, this means that all the shares that were borrowed will finally get bought back.

Heavily shorted stocks would skyrocket as overleveraged debt is finally closed out.

The results? MOASS (mother of all short squeezes).

The momentum from billions of shares being bought back could push ‘meme stocks’ to unprecedented numbers.

Whether Bank of America goes bankrupt will depend on whether they file for bankruptcy protection or not.

A short squeeze play is imminent and there’s no doubt financial institutions are preparing for it.

The Stock Market Is Rigged

“The stock market is a rigged game for the wealthy as corporate execs can hide behind trading plans as they buy or sell stock, sometimes based on nonpublic information.” via ZeroHedge.

We’re seeing this happen right before our very own eyes. Fed presidents Kaplan and Rosengren were using their power to mold regulation in theirs and their partners favor.

Bank of America has been a liquidity refuge for Citadel, allowing them to overleverage their positions in heavily shorted stock without repercussions.

We saw that Robinhood executives sold AMC and GME stock right before halting trading back in January of this year.

The Citadel scandal has been the talks all over Reddit and Twitter. Citadel and Robinhood had communication about which ticker symbols would be halted.

The stock market is a device that has been created for the wealthy to leverage their wealth to build more wealth.

The SEC has proven to have little to no power.

Now, that doesn’t mean retail investors don’t have a chance at the market. Corporate executives simply have a much stronger edge.

Our voice and DD have been very powerful tools in fighting corruption in the markets.

We’ve been able to inform the public of what’s been occurring all while setting ourselves up for an immense short squeeze play.

What a journey.

The Greatest Transfer Of Wealth Is Commencing

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I believe this scheme revolving shorting meme stocks is finally coming to a close.

Empires are crumbling and new ones will rise.

But before new ones rise, retail investors would have made history by beating the financial system at its own game first.

It seems more information is being revealed with each day that passes.

I don’t think retail investors have had an upper hand like this before.

And unfortunately for short sellers, they’re about to get burned again.

This time for good.

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Overstock Founder Says SEC Has Always Turned A “Blind Eye”

Overstock founder Patrick Byrne on Market Manipulation and short selling
Overstock founder Patrick Byrne on Market Manipulation and short selling

Overstock Founder Patrick Byrne says the SEC has always turned a blind eye when it comes to predatorial practices in the stock market.

AMC and GME stock have both seen an incredible amount of naked shorting, but regulators have failed to enforce market makers and hedge funds from closing their overleveraged short positions.

The Overstock Founder has an extensive history of fighting for a fair market and explains why the SEC has always turned a blind eye.

I’m going to breakdown key highlights to this incredible interview and embed the video for your viewing pleasure at the end of the article.

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Welcome to Franknez.com – the blog that fights for retail investors and exposes injustices in the market. Today we’re discussing the biggest scandal in history.

Let’s get started!

Who is Patrick Byrne?

Now, if you are not familiar with who Patrick Byrne is, he’s the founder of Overstock.com, an online retail company.

Patrick Byrne has a history of exposing injustices in the market after Overstock experienced an incredible amount of shorting.

His activism and knowledge in the markets grabbed the attention of Chinese economists.

The Chinese have adopted Patrick’s principles and knowledge on how to properly build and run an efficient market that eliminates systemic risk to the country.

He has been under several investigations by the SEC due to exposing the corruption no one is willing to change.

Overstock Founder Patrick Byrne Short selling
Overstock Founder, Patrick Byrne

“Since the 90’s, they’ve always turned a blind eye to penny stocks in the market.”

Overstock Founder, Patrick Byrne

How deep are hedge funds in AMC and GameStop?

AMC and GameStop

According to the Overstock founder, he describes short sellers as having their foot on top of a bouncing betty.

Meaning as soon as they take their foot off, a massive explosive is triggered.

The expression denotes the particular circumstances hedge funds and market makers are currently in.

Hedge fund industry expert, Charles Gradante has recently stated that market makers created naked shares to refrain AMC and GameStop from further causing hedge funds great distress.

Read the full article here.

Now, Patrick Byrne confirms hedge funds and market makers will do anything to get out of this sticky situation.

Including using the media to attack AMC and GameStop, and even buy regulators in the SEC to allow the market manipulation to continue.

According to the Overstock founder, the only way out of that bouncing betty is to drive the stock’s price to 0.

Something retail investors are not allowing to happen.

Overstock Founder says the SEC, DTCC, and Fed are all corrupt

SEC is corrupt

In this incredible interview, Patrick depicts all regulators as a stack of turtles (I’ll embed the video below).

They’re all corrupt, all the way down, no matter the branch.

He’s heard Gary Gensler is not one of the ‘corrupt ones’; but although intelligent, might not know how to fix the problem.

Retail investors have been raising awareness of market injustices in hopes to receive acknowledgement from Gary Gensler.

However, the SEC Chairman has failed to take matters seriously.

Related: Fed’s Kaplan and Rosengren resign in market manipulation scandal

What will trigger AMC and GameStop to squeeze?

what will cause AMC and GameStop to squeeze

If short sellers are doing everything in their power to drive AMC’s and GameStop’s prices to 0, then retail truly is the only solution.

Buying and holding the stock is what’s keeping AMC and GameStop from going to 0.

If hedge funds drive these two stocks’ price down to 0, they win, and the bouncy betty is disassembled.

And the only way they can accomplish this is if retail investors call it quits.

So, we know that as long as retail investors continue to buy and hold the stock, hedge funds cannot drive the price down to 0.

What is the solution?

Time.

Every day, every week, and every month that hedge funds have not closed their positions, they lose money.

While retail investors accrue unrealized losses, hedge funds and market makers pay a fee to keep to their short positions open.

The time of desperation is already here.

The markets are getting liquidated, mainstream media continues to spread FUD about AMC and GameStop, and retail investors are not leaving.

You’ve already won if you’re holding either stock, you are the bouncing betty.

These multibillion-dollar companies are working together to scare you out of your money first.

They’re doing this by continuously overleveraging their positions and driving the share price down in hopes that retail will sell, and they’ll take the companies down to 0.

Be sure to watch this incredible interview on Overstock founder Patrick Byrne.

Patrick Byrne on short sellers and market manipulation

Exposing manipulation in the markets

Citadel Securities market manipulation

It’s going to take more than just time to trigger a short squeeze.

A short squeeze is going to require the community to demand proper market structure.

Patrick talks about T-Zero and blockchain technology as solutions that would eliminate naked shorting and the suppression of a stock’s share price in the market.

But the SEC considers the Overstock founder’s idea as market manipulation.

The retail community will not squeeze shorts from their positions unless proper market structure is demanded.

Short sellers will need their foot off the bouncing betty for AMC and GameStop to squeeze.

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Family Offices Are Unregulated Hedge Funds [Exposed]

Family offices are unregulated hedge funds
Bill Hwang – founder of family office Archegos Capital

Incredible information has surfaced from the community in regard to unregulated hedge funds posing as family offices.

This industry holds trillions of dollars in assets globally with about 40% being held in the United States.

What’s more alarming is that these family offices aren’t regulated nor registered with the SEC (Securities Exchange Commission), allowing financial institutions to use this network of unregulated trading to their advantage.

In this article we’re going to dive deep into the seriousness of this inequality in the markets.

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Welcome to Franknez.com – the blog that protects retail investors from injustices in the markets. Today we’re discussing a loophole in the market that has been overlooked.

Let’s get started!

The inception of Archegos family office

Family offices Archegos

A well-known ‘family office’ you might have heard of is Archegos Capital, founded by Bill Hwang.

Archegos family office had $120 billion total exposure according to Credit Suisse Report, causing $10 billion in trading losses to the world’s largest banks.

Two of which included Credit Suisse and Morgan Stanley.

Bill Hwang was mentored by hedge fund expert Julian Robertson from Tiger Asia Management and Tiger Asia Partners, a hedge fund that was shut down by the U.S in 2012 for insider trading and manipulating Chinese stocks.

After getting banned from the investment advisory industry and a $44 million settlement with the SEC, Bill Hwang set up his family office, Archegos Capital.

Already with a history in crime, Bill Hwang’s family office was able to get away with several billions of dollars in stock positions due to the lack of regulatory measures.

The Archegos incident is currently known as one of the largest public margin calls in family offices, for now that is.

This shadow industry manages twice more assets than hedge funds registered with the SEC.

Family offices managing trillions in assets

Family Offices trillions in assets
Private offices own approximately twice in assets than hedge funds

Family offices are an unregulated corner of the financial marketplace with an estimated $6 to $7 trillion in assets under management (compared to $3.4 trillion in global hedge funds), via. Inequality.

Archegos revealed that family offices can create systemic risk due to their size, lack of regulation, and growing interest in ‘speculative investments’.

These growing interests in speculative investments may include the shorting of so called ‘meme stocks’ such as AMC and GameStop.

Hedge funds have been overleveraging their short positions in these stocks speculating the companies would go bankrupt shortly after the pandemic.

However, retail investors buying and holding the stock have caused hedge funds betting against these companies to lose billions of dollars.

To refrain from causing their clients further turmoil, we’ve seen an incredible amount of shorting happen in these stocks.

Anomalies in the stocks derive from either naked shorting, a network of unregulated trading, or both.

Hedge funds have used an array of loopholes to suppress the stock price of both AMC and GameStop to minimize consequential losses.

And the retail community is making a lot of noise.

Why aren’t these family offices regulated?

SEC

Those in favor of family offices believe light oversight is justified because these offices only serve private families.

Because they are not serving multiple clients, they believe these offices should not be subject to scrutiny.

Should these businesses be regulated and registered with the SEC?

I’d love to know your thoughts, leave a comment below.

The good news is that we have a New York Congresswoman by the name of Alexandria Ocasio-Cortez from the House Financial Committee, introducing a bill that would fight to regulate these family offices.

She’s introducing HR 4620, the Family Office Regulation Act of 2021.

After the massive liquidation from Archegos Capital, regulators are seeking to gain access to private information from these family offices in order to mitigate risk.

Hedge funds have incredible access to market manipulation

Market manipulation

Hedge fund industry expert, Charles Gradante has mentioned market makers are in favor of short selling.

In an infinite pool of access to capital from banks, the feds, and family offices, it’s going to take much more than the SEC to regulate the market.

New systems must be put into place, organizations, and activist groups to speak on the matter publicly.

The retail community holding ‘meme stocks’ has sparked a movement to raise awareness surrounding the market manipulation from all complicit parties.

These offices have also moved into the crypto market which could explain the massive liquidity we’re seeing today.

Hedge funds and private offices need to be regulated to prevent market manipulation and systemic risk.

While retail investors bet on the rise and well-being of a company, financial institutions suppress the growth of stocks, posing a major threat to our economy.

China banned Citadel Securities due to “malicious short-selling”, the United States needs to do the same thing.

These massive hedge funds have an incredible network to overleverage their short positions in emerging and growing companies.

Private offices create an extension for hedge funds to short stocks without reporting their positions to the SEC.

And while not all family offices are a loophole for hedge funds, the ‘ape community’ continues to be right.

Watch this video for additional context

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The links cited on this article come from a community member by the username of AMCBIGGUMS, covered below.

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How Do Hedge Funds Manipulate The Stock Market?

How Do Hedge Funds Manipulate The Stock Market?
How hedge funds manipulate the market

Hedge funds have been manipulating the stock market for decades.

But it wasn’t until now that a community has risen to raise awareness of market injustices.

The shorting of both AMC and GameStop stock have uncovered a number of nefarious strategies used against retail investors.

What is the SEC doing to regulate these financial entities?

We’re here to find out.

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Let’s get started!

Overleveraging Borrowed Shares

overleveraged borrowed shares

Hedge funds have an incredible supply of short shares available to borrow.

This advantage has allowed them to manipulate a stock’s share price by initiating short-ladder attacks.

While supply and demand are pushing a stock’s price up, hedge funds short the stock using an insane amount of leverage.

This predatorial strategy has yet to be announced as illegal nor has it been addressed by the SEC.

Off Exchange Trading

Hedge funds and market makers are getting away with being able to trade and swap stock in foreign exchanges where the stock’s price isn’t required to be disclosed.

They’re taking retail orders and, in a way, manipulating the circulating supply by not reporting accurate transactions.

We’ve seen this happen with Barclays.

Stock market manipulation
Barclays CEO, Jes Staley – Hedge fund manipulation

Reports by Finra have been made public detailing multiple fines on Barclays for inaccurate books and records.

Barclays is one of Citadels clearing houses.

Off exchange trading where transactions aren’t displayed on the list market such as the NYSE is a massive problem the SEC is still trying to figure out.

Though the SEC is trying to implement the D-Limit order that will allow stocks to trade under IEX, they’re having trouble from hedge funds and market makers.

Citadel has sued the SEC on this matter, we have yet to receive a public update on the case.

Naked Shorting

AMC and GameStop have had an incredible amount of FTDs, or failure-to-delivers.

These are orders that have not been executed in options, and are usually a result of a ‘short party’ not owning or not having all of the underlying asset.

This has led retail investors to the educated assessment that synthetic shares are floating in the market; shares known as naked shares used to short a stock.

According to Investopedia, “Despite being made illegal after the 2008–09 financial crisis, naked shorting continues to happen because of loopholes in rules and discrepancies between paper and electronic trading systems.”

Naked shorting has gone mainstream with CNBC’s Melissa Lee and Fox Business’s Charles Payne bringing light to this predatorial practice in the market.

Retail investors must use their voice to address these issues to the SEC.

The Use of Mainstream Media Outlets

According to The Fool, you should invest in this or that “instead”.

We’ve seen the headlines countless times.

The Motley Fool is a source that provides its subscribers with hand-picked stocks with potential gains.

With tremendous respect, stick to what you do.

The integrity of this company is to help investors pick winning stocks, not to divert them from a stock due to its potential upside that can cause hedge fund partners to lose billions of dollars.

And that’s exactly what happened.

No matter how many times mainstream media outlets tried to divert retail investors from buying AMC stock, it cost hedge funds a lot of money all year.

And at the same time, a lot of retail investors have a lot of unrealized gains.

This ladies and gentlemen is how the media has tried to manipulate the performance of a stock.

This influence can sway a new retail investor from adding to the surging volume of shares being purchased in the market.

To the new retail investor – make your financial decisions based on your own due diligence.

Not on what media sources get paid to write about.

Yahoo Finance & InvestorPlace

Platforms such as Yahoo Finance & InvestorPlace have also had their fair share of negative headlines to try and divert the public from skyrocketing AMC to the moon.

With InvestorPlace even throwing a jab at GME investors saying, “If You’ve Made Money On GameStop, You’re Not An Investing Genius”.

Perhaps not, but I’m pretty certain these investors are wealthier than the person who came up with that punchline.

These media sources have been discouraging new retail investors from investing in AMC since the beginning of the year although the stock is up year-to-date!

Manipulation In The Stock Market

robinhood stock market manipulation
Robing Hood? Stock market manipulation

I’m sure you’ve all heard of the Robinhood scandal.

This is another form of manipulation in the stock market caused by the halt of buying power.

Robinhood prevented its users from buying stocks such as AMC and GME (GameStop) during GME’s bull run.

Although restrictions aren’t as tight anymore, we’re beginning to see trusted and beloved companies get exposed as hedge funds worst nightmares become a reality.

Today we’re seeing more people learn about how the stock market moves.

If more of the public is to understand how hedge funds pose a risk to our economy and businesses, we must expose these financial institutions for who they really are.

Read: Why new retail investors investing in AMC should avoid Robinhood

A House of Cards, r/superstonks (Reddit Post)

A Redditor just posted an insane amount of DD on Reddit.

This long form post discusses the transition from paper filled orders in the stock market to the use of computers going tracing back to the mid 80s.

The post reveals the beginning of issuing naked shares.

We’re also learning that a lot of transaction are being held by the actual institutions that are shorting these stocks.

Robinhood routes more than half of it’s customers to Citadel.

This information has now been disclosed via the Washington Post.

You can read the full Reddit post here.

Trey’s Trades does a quick breakdown on this DD as well.

The video is embedded for your viewing pleasure.

It costs retail investors nothing to hold, but it costs shorts and hedge funds money every day.

It’s only a matter of time before a squeeze occurs, no matter how manipulated the stock market gets.

Related: Citadel loses billions: Hedge funds are getting dragged down

Franknez.com fights The Fool, Yahoo Finance, and InvestorPlace

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Franknez.com is fighting for the community against malpractice from all news media shunning AMC and GameStop.

This platform will serve as a positive media outlet for the community and only spread factual documentation, and news related cited-sources.

I will not encourage retail investors to take a position in AMC.

However, I will outline the facts and evidence to help you make your own personal financial decision.

How can retail investors bring awareness to the community?

Retail investors can expose false information on social media to shine light on manipulation tactics driven by hedge fund partners.

Sharing factual and positive articles relating to the performance or analytics of a particular stock is another way the investing community can stay united.

Franknez.com is a platform for the community.

I am 100% pro retail-investors and I will continue to share DD that point towards an AMC short squeeze as well as any relevant information that exposes malpractice in efforts to raise awareness.

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Read: Media tries to scare people out of their money: AMC saga

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BREAKING: DoJ Launches Criminal Probe on Hedge Funds

DoJ Launches Criminal Probe on Hedge Funds
DoJ probe investigates hedge funds for criminal activities in short selling

BREAKING: The DoJ (U.S. Department of Justice) has launched a criminal probe on hedge funds short selling while breaking the law.

There are massive concerns hedge funds have been profiting from short selling using illegal means.

You don’t say.

This is what the ape community has been making noise about all year.

Ladies and gentlemen, things are about to get very interesting.

franknez.com

Welcome to Franknez.com – today’s market news is a direct result of the ape community making noise for a fair market. The U.S. Department of Justice has launched an expansive investigation on hedge funds.

Let’s get started!

Department of Justice Looks into Hedge Funds

department of justice looks into hedge funds
DoJ probe looks into hedge funds

According to Bloomberg, the probe is being run by the department’s fraud section with federal prosecutors in Los Angeles.

Community, can you imagine how these short sellers must be feeling right now.

Their worst nightmares just came to fruition, and it’s only the beginning.

This expansive probe will be digging into how hedge funds tap into research and setup their bets against retail investors.

Furthermore, authorities are piecing together relationships between hedge funds and researchers, and hunting for signs of manipulation that cause stocks to significantly drop though engineered means and inside trading.

“Short And Distort” Campaigns

The SEC and DoJ are said to have gone after hedge funds for running “short and distort” campaigns.

These campaigns set up bearish bets and release misleading or inaccurate information about a company to drive the price down to profit from the play.

This sounds just like what The Fool, InvestorPlace, MarketWatch, YahooFinance, and Benzinga have been doing all year.

These mainstream financial platforms desperately attempted to divert the public from buying AMC stock by publishing false narratives about the stock, community, and company.

My publications all year were an effort to fight against FUD media and provide the community and public with honest news.

Now, these predatorial tactics are finally being investigated.

Will The Feds Step Up and Enforce the Rules?

The Feds have released a few hedge fund names they are looking into.

Anson Funds and Marcus Aurelius Value are among more than a dozen firms that are being investigated.

Citadel’s name has yet to come up in any of these market news outlets.

However, the entire list hasn’t been fully disclosed yet, though they seem to specifically be looking at Citron Research.

My hopes are that smaller hedge funds aren’t being used as scapegoats for the biggest market maker and hedge fund in the industry.

Citadel Securities and Bank of America have been on the top 10 list of financial institutions shorting AMC stock.

While it’s great to see reports of investigations, justice will be served when the manipulation in both AMC and GME is stopped.

The #DOJ needs to look into Citadel.

The Ape Community Sparks DoJ Probe

the ape community sparks DOJ probe

There is no greater voice or activist than the ape community made up of several millions of retail investors holding AMC and GME stock.

We’ve been using our voice and our platforms to fight for a fair market.

The ape community continues to prove it is a beacon for change.

And we will expose corruption where we see it.

Give yourselves a big round of applause because it’s due to your efforts that change is happening.

If the DOJ is looking into hedge funds, it’s because the community demanded it.

What has been done in the past about market manipulation?

Nothing.

The world needs the ape community to fight corruption and to restore balance in the markets.

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Related: Here’s why Citadel’s customers are about to lose everything

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Anchorage Capital Closes After Betting Against AMC Stock

Anchorage Capital closes after betting against AMC Stock
Anchorage Capital AMC | Anchorage Capital Closes

Anchorage Capital Group, LLC has announced it is shutting down due to significant losses.

The hedge fund is closing after 18 years and returning the $7.4 billion dollars it manages back to clients.

Their credit fund, Anchorage Capital Partners is suspending clients’ ability to get their money back, via WSJ.

Hedge fund Citadel Securities is facing a similar issue with their clients, preventing them from withdrawing unless they pay a heavy fee.

Anchorage Capital was one of the top 10 financial institutions shorting AMC stock and now they’re throwing in the towel.

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Welcome to Franknez.com – Hedge funds have been warned not to bet against AMC Entertainment or the community. Retail investors are about to shut hedge funds down.

Let’s get started!

Anchorage Capital Had 4 Million Puts of AMC Stock

Anchorage Capital AMC Puts
Anchorage Capital AMC Puts, Source | Hedge fund closes

This hedge fund was betting against AMC in put options.

A put option allows traders to profit from the decline of a stock.

These contracts have an expiration date by which a trade settles if it meets at or below the strike of the bet.

The put buyer’s entire investment can be lost if the stock doesn’t decline below the strike.

This is how hedge funds such as Citadel Securities have lost billions all year.

Retail investors continue to buy and hold AMC stock, meaning short sellers don’t stand a chance against the community supporting the century old theatre chain.

And with AMC Entertainment continuously innovating with crypto, NFTs, and licensing agreements, the company is impenetrable.

Read: The most innovative things happening with AMC today

The news came shortly after Hong Kong’s $2.8 billion hedge fund Tybourne shut down.

Is this a trend we’re going to continue seeing from hedge funds shorting companies, but more specifically AMC stock?

Without a doubt.

Squeezing Shorts from Their Positions

AMC Short Squeeze Rocket
AMC Rocket

As retail investors continue to buy and hold AMC stock, they will eventually squeeze shorts from their positions.

The stock has recently come down from the consolidating level ranges of $40 and $30.

Its current share price of $24 seems rather appropriate for hedge funds with overleveraged positions to cover.

That is unless they are willing to lead their customers into the brand-new year with mounting losses again.

AMC is currently oversold and will be making its way back up resulting in further losses for shorts who’ve recently opened new positions.

The company has progressively been paying down its debt every quarter and increasing its revenue throughout the year [read Q3 highlights].

And with an incredibly strong retail community rooting for the company, more hedge funds like Anchorage Capital will begin to realize betting against AMC will result in a massive loss.

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Read: SR 21-19: The fed is about to impose massive margin calls

Topic Discussion with FrankNez

NSCC-2021-010 Prevents Naked Shorting and FTDs [Delayed]

NSCC AMC
NSCC-2021-010 AMC News

The NSCC is taking accountability as a third party between lenders with the NSCC-2021-010 proposal.

We now have a referee in the market saying everyone needs to play fair.

Will it be implemented anytime soon?

Here’s what’s going on.

Update: this proposal will be filed on August 23rd and effective on August 24th per this FINRA letter, page 3.

Bookmark this page for additional updates.

Update: The proposal was delayed for November and was delayed again on November 5th, 2021.

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Welcome to Franknez.com – the blog that fights against FUD media. Today we’re discussing a rule that could potentially help retail investors against market manipulation.

Let’s get started!

Although this proposal has been delayed a few times, I’m going to go over the significance of it if passed.

We must urge regulators to pass this proposal because it will level the playfield for retail investors.

AMC is about to start climbing again.

What is going on with the NSCC essentially cleans the slate for retail investors.

The AMC community will now be able to drive AMC’s share price without illegal tactics in the stock market if this proposal is passed.

All the opposition that prevented AMC Entertainment stock from reaching $100 per share will no longer be able to drive the stock down if this goes through.

As a result, the momentum that retail investors create will bring higher and quicker upswings in AMC stock.

Breaking away from $30-$40 range

Like many potential catalysts, this could very well be one that could wipe out more hedge funds.

Is this why Anchorage Capital threw in the towel?

NSCC-2021-001 is a major threat to hedge funds.

Why it’s been delayed for several months is beyond me, this proposal should have gone through during the summer.

All retail investors need to gamma squeeze AMC at this moment is to bulk up on the stock, we’ve known this.

However, short sellers have increased their dark pool trading usage and OTC trading strategy as well.

These illegal backdoors have allowed hedge funds to heavily short AMC stock through a rinse and repeat process retail investors have no control over.

Well, the NSCC is stepping in to take accountability for every transaction being made in the market.

The NSCC will act as a third party to oversee transactions between lenders to stabilize the stock market.

This means the markets will not be as volatile.

And this is all possible due to proposal NSCC-2021-010.

But more on that in a moment.

Time to play offense

Rocket Ship

Right now is the perfect time for retail investors to go on the offense.

By driving AMC stock up, short sellers will further accumulate heavy losses on paper.

Charles Schwab have already raised margin requirements for both AMC and GME stock.

JP Morgan on the other hand is implementing intraday margin calls up to 7 times per day to ensure short sellers have enough cash at hand to cover their positions.

This puts short sellers in the most extreme condition they’ve ever been.

That’s because the more money they lose on paper means the more money they’re being expected to fund their margin accounts with.

And with the feds now stepping in, margin requirements are about to get a whole lot higher.

Before, they were able to short the stock down to avoid immediate liquidation.

Now, proposal NSCC-2021-010 prohibits short sellers from creating failure-to-delivers as well as naked shorting!

NSCC-2021-010
Source – NSCC-2021-010 Naked Shorts / Failures to deliver (page 4.)

This means they can no longer short AMC stock in extreme measures using naked shorts like they have been.

The FTDs? All call options in the money should now be properly executed which will result in gamma squeezes that will drive up AMC stock up; breaking the $30-$40 range.

If you bought in during AMC’s climb, you’re about to break even real soon.

And once you do, you’re going to begin seeing profits on paper shortly after.

The NSCC is going to watch every transaction

The NSCC has the potential to take away the enemies’ weapons and now it’s time for retail investors to charge full on.

If this proposal goes through, hedge funds will be stripped from their power to manipulate AMC through naked shorting and FTDs.

Short sellers now cannot take another massive round of momentum.

This momentum could cause immediate liquidation by brokers if margin accounts fall short of requirements.

A third wave of momentum will eliminate more hedge funds shorting AMC and could potentially spark the MOASS.

The NSCC requires collateral

NSCC-2021-010 Market Regulators Preventing Naked Shorting and FTDs

If that wasn’t enough, the NSCC-2021-010 also requires that lenders have the collateral at hand when trading stock.

So now hedge funds have JP Morgan, Charles Schwab, and the NSCC requiring them to keep an insane amount of cash at hand for once they get squeezed out of their positions.

NSCC cash collateral AMC
NSCC Cash Collateral – Source, page 11

The NSCC essentially plans to make sure everyone’s money is there before positions begin to get liquidated.

This cash collateral is going to prohibit short sellers from overleveraging their positions.

You take out overleveraging, and you take out the excessive manipulation in the market.

From this perspective, the biggest thing hedge funds fear the most is extreme volume from the community again.

We’re talking about executives selling their cars, homes, properties, assets, you name it; to keep their margin requirements up.

Will it get to this point?

Not unless short sellers close their positions now.

Hedge fund scrutiny intensifies

hedge fund scrutiny

Hedge funds have been under extreme scrutiny recently.

Democrats have even begun broadening consequences for hedge funds causing disruption in our economy.

In fact, if the Capital Markets Engagement and Transparency Act passes, hedge funds would be required to publicly disclose their bets against stocks as well as dark pool data.

The SEC cracked down on 27 financial firms for FTDs earlier this summer.

And although Citadel was not on that list, the feds are investigating them as well as Robinhood for market manipulation.

There might have been a point where it felt like short sellers had the upper hand in the markets but not anymore.

Retail investors now have the SEC, NSCC, and the Feds auditing the financial system.

The AMC community is forcing change.

I’ve said many times before.

It’s you as an individual within the community that has so much power to make things happen in the real world.

The AMC community and the movement will be recorded in financial history.

The financial system is not perfect, and neither are its regulators, but one step forward is better than none.

Millionaires in 2022

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About 625k people are becoming millionaires every year.

2022 is going to see hundreds of millions of people become millionaires this year alone.

The biggest transfer of wealth is going to be historic.

It will be up to you to learn how to manage it, invest it, and create a better world for future generations.

The torch is being passed down to us; we must be patient.

If you found this article to be of value, I only ask that you please share it and help other apes in the community get a grasp on the importance of this proposal.

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Read: Anchorage Capital closes after betting against AMC stock


SR 21-19: The Fed Is About to Impose Massive Margin Calls

SR 21-19 Margin Calls
SR 21-19 Margin Call Requirements

The Fed’s just published a letter under SR 21-19 to supervise and assess the actions that led to the Archegos default by examining financial institutions and their relationships to investment funds.

The Federal Reserve is issuing this guidance to limit risk management.

SR 21-19 is intended for banking organizations with large portfolios and relationships with investment funds, such as hedge funds.

Some of you in the community wanted me to explain what this letter means and so I’m going to be breaking it down for you today.

franknez.com

Welcome to Franknez.com – today’s market news has to do with the Fed’s cracking down on banks and hedge funds. Interesting things are happening at the end of the year, aren’t they?

Let’s get started!

Speaking of interesting things happening.

The ape community has attracted the attention of the SEC, mainstream media, and now the Federal Reserve.

It’s worth noting that progress is progress, no matter how slow or long it takes.

Why is SR 21-19 Significant?

SR 21-19 Margin Calls

This federal piece of document is significant for many reasons.

  1. It highlights lack of transparency in the markets.
  2. The letter acknowledges a relationship amongst financial entities and confirms strategic involvement.
  3. It expresses how overleveraging positions pose a major risk towards meeting debt obligations.
  4. And finally, SR 21-19 touches topic on providing proper margin terms to these institutions.

Reserve banks are being asked to distribute this letter to the supervised organizations in their districts and to appropriate supervisory staff.

The board is continuing to review firms’ weaknesses to take further action.

The Feds are looking for a solution that will mitigate risk and prevent hedge funds from defaulting, as seen with Archegos.

Archegos defaulted on March 26, 2021, causing over $10 billion in losses across several large banks.

Today we’re seeing Citadel has lost billions of dollars this year from shorting AMC stock.

The hedge fund has begun freezing any attempts for its clients to pull their investments out by issuing ultimatums that would make it impossible for the customer to return.

And on top of that, a hefty fee for withdrawing their investments.

New Margin Call Terms Are on The Horizon

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It is unclear what the margin call terms will be for these overleveraged financial institutions.

However, the letter states that they will be ensuring that these institutions receive the appropriate margin requirements.

They will either avoid inflexible and risk-insensitive margin terms or extend close-out periods.

Risk-insensitive meaning appropriately raising the margin requirements dependent upon how overleveraged a financial institution is.

Hedge funds shorting AMC and GME stock have amounted an overwhelming number of borrowed shares to short the stocks.

Yet these stocks have remained leveled due to the strength of retail investors.

The feds are about to impose massive margin requirements on overleveraged hedge funds.

Now, we won’t know how long this process will take.

What we do know is that the federal government isn’t taking hedge funds lightly anymore.

And if the appropriate margin terms are too high for hedge funds to maintain, then they’ll be forced to close short positions.

Getting To the Bottom of Synthetic Shares

AMC Synthetic Shares

Will the feds come across the millions of synthetic shares these overleveraged hedge funds have created?

It will be a massive surprise if they don’t.

See, the feds are requiring their supervisors to receive adequate information to fully understand the risks of the investment funds they are investigating.

This includes positions and counterparty concentrations, or a specific sector in which two financial entities are specifically focused on.

Failing to meet transparency will mean the feds will take action on setting conservative terms between the parties.

Identifying synthetic shares in the market is a rabbit hole the feds themselves will have to go down.

My suggestion is for the community to push the Department of Justice to investigate these synthetics.

Raising awareness to these problems in the market is key to sparking a MOASS.

2022 Is Going to Be an Interesting Year for Hedge Funds

ken griffin meme

Hedge funds face more scrutiny than ever before in history.

They have created system risk and pose a threat to our businesses and economy.

Hedge funds never saw a community of activists fight them for a fair market.

Retail investors caused Archegos to default and Melvin Capital to lose billions of dollars resulting in a life-line from Citadel Securities.

Melvin Capital has stated that they’re out of the game.

However, financial institutions such as Citadel Securities and Bank of America Corp continue to short AMC stock.

With the feds now involved, 2022 is going to be an interesting year for both hedge funds and retail investors.

Leave Your Thoughts Below

franknez.com

What do you think of the SR 21-19 letter?

Could this federal document be the first step towards the uncovering of synthetics in the market?

Are we closer to margin calls than ever before?

Leave your thoughts below.

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AMC Continues To Be The Most Shorted Stock In The Market

AMC continues to be the most shorted stock in the market
AMC stock continues to be heavily shorted

AMC Entertainment stock has caused havoc for short sellers shorting the stock.

Hedge funds have proven to lose billions of dollars from the ongoing ‘meme’ stock frenzy.

Momentum stocks, as I like to call them, are more than just plays for money.

Retail investors have conjured up a real movement for change.

And although mainstream financial news platforms say it’s over, it’s far from it.

Hedge funds betting against AMC just borrowed more than 4 million shares to short the stock.

They just dug themselves a deeper hole.

franknez.com

Welcome to Franknez.com – the best blog for new and seasoned retail investors. Today we’re discussing AMC Entertainment stock.

Lets get started!

Is AMC Stock Shorted?

is AMC Shorted

Short sellers just borrowed more than 5.5 million shares to short the stock.

Although AMC has had major buying pressure all year, shorts continue to attack retail and the company.

Is AMC Stock Shorted?

The community wants to see chairman of the SEC, Gary Gensler, take action towards banning activities such as naked shorting, dark pool trading, and PFOF.

The SEC was created in 1929 after the infamous Stock Market Crash of 1929 to protect retail investors against the manipulation from hedge funds and short sellers.

However, it was established in 1934 with the passage of the Securities Exchange Act, a law formerly governing the trade of securities.

Overleveraged positions in the markets have been the cause for economic meltdowns resulting in significant losses for the American people.

Our government has always had the power to fix the biggest problems retail investors currently face.

Why no real regulation has truly protected retail investors is the big question.

Talks of ongoing investigations have risen but actions will have to speak louder than words.

AMC’s stock price continues to be suppressed through overleveraged means only hedge funds and short sellers have access to.

The ape community has sparked a movement towards fighting for a fair market and aren’t going anywhere until real change has occurred.

How Can We Appoint New Leaders in The SEC?

SEC

Members of the SEC are appointed by the President of The United States himself.

The SEC is headed by a five-member board of commissioners.

Members are appointed by the president with the advice and consent of the United States Senate.

The president does not have the authority to remove members once they are confirmed.

No more than three commissioners may belong to the same political party.

The president appoints one board member to serve as chair.

Change will only happen if we the people voice our concerns publicly.

We have the right and the power to overthrow any form of incompetent government.

We must let these powers know that we see them and understand that they have the power to make things right.

There are more than 4 million of us in this community.

Our voice is our strength.

Will AMC Continue To Run Up?

will AMC continue to run up

I’ve been in this community since early February and the sentiment has not changed.

80% of AMC’s float is now owned by retail investors and the movement keeps growing.

The stock market is based on supply and demand, and so retail investors are in command.

Although AMC’s share price is being suppressed by heavy shorting in the market, AMC Entertainment stock will continue to run up as long as retail investors continue to buy the stock.

Which isn’t going to be a problem by the way.

AMC is more than just a stock, it’s a movement.

Hedge Funds Will Continue To Face Mounting Losses

There are no signs of retail letting off the gas pedal.

Investors in the ape community continue to buy the dips and hold their stock no matter the pressure.

Short sellers have already lost billions this year and continue to mount losses in liquidity and debt.

Betting on this stock, the company, and its massive community has been a terrible financial decision.

What Financial Institutions Are Shorting AMC Stock?

AMC Entertainment is currently being shorted by numerous hedge funds and financial institutions.

Here’s a list:

  1. Simplex Trading LLC
  2. Susquehanna International Group LLP
  3. Citadel Advisors LLC
  4. 683 Capital Management LLC
  5. Anchorage Capital Group LLC
  6. Group One Trading LP
  7. Wolverine Trading LLC
  8. Bank of America Corp DE
  9. Millennium Management LLC
  10. Piction Mahoney Asset Management
companies shorting AMC stock
Source

Related: Bank of America has been illegally shorting AMC stock

AMC Has Changed Millions of Lives

franknez.com

AMC Entertainment has changed the lives of movie goers through the theatrical experience we’ve all missed since the lockdowns.

The company has unintentionally sparked a movement greater than us, resulting in the resurrection of the movie theater industry during the process.

And it’s changed the lives of millions of retail investors, netting significant profits to majority of its shareholders.

Whether you’re holding for a short squeeze or to be part of a community with a movement, you cannot deny AMC is a beacon for change.

So, lets continue to be that change the world and our community needs.

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Ken Griffin Lied About Robinhood Communication During Halts

Ken Griffin Lied About GameStop Halts
Ken Griffin Lied About Halts

#KenGriffinLied is trending number 1 on Twitter right now. A document was just released showing messages between Vlad and Robinhood COO, Gretchen Howard, in regards to Citadel making demands on limiting PFOF (Payment For Order Flow) back in January.

The conversation then shows Vlad stating, “maybe this could be a good time for me to chat with Ken Griffin”.

Ken Griffin lied under oath by stating Citadel had no communication with Robinhood in regards to the halts on AMC and GameStop back in January.

Hedge funds have since been overleveraging their short positions while manipulating AMC and GameStop’s stock price through the illicit use of naked shorting and dark pool trading.

Retail investors are now looking at regulators to take serious action.

Franknez.com

Welcome to Franknez.com – I’ve said it before and I’ll say it again. You are creating change this very moment. Lets discuss what we need to do to end this market manipulation once and for all.

Lets get started!

Will The SEC Protect Retail Investors From Market Manipulation?

But before I do, if you don’t know who Ken Griffin is, he’s the CEO to the Citadel Securities. This is the hedge fund who’s been betting against AMC and GameStop for months now.

Citadel is what you get if our government’s power was not divided into three branches. See, the problem here is Citadel LLC is a hedge fund, Citadel Securities is a market maker, and Citadel Connect is a dark pool.

You essentially have a tyrant making all the rules for themselves.

Now, many of you have been tagging the SEC, Gary Gensler, and even Potus on Twitter. Now it’s time for the community to see what measures are taken by our government leaders to protect its people.

In the transcript above, you can see the initial conversation between Gretchen (Robinhood COO), and Vlad Tenev (Robinhood CEO). Shortly after we see another transcript confirming the communication between Robinhood and Citadel..

Kenneth Griffin Lied about halts

Jim Swartwout is the President and CEO of Robinhood Securities. In the transcript above he states, “you wouldn’t believe the convo we had with Citadel, total mess.”

And get this, after 9 months of silence on Twitter, Citadel has gone on to lie again stating this is conspiracy theory. Although the transcripts show evidence in plain ol’ English.

The community is fighting for change. Citadel has yet to address their abuse of power through naked shorting and the usage of dark pools to mask bullish moves in the market.

Citadel’s Ken Griffin Lies Under Oath

Ken Griffin Lies Under Oath

Here is the footage of Ken Griffin lying about his team having any communication with Robinhood during the halts back in January.

The cat is out of the bag! Community, we must continue to fight for our rights for a fair market. The SEC has the power to liquidate these overleveraged hedge funds from their positions.

We must demand it. Only then will AMC and GME squeeze. This play, it’s your birthright.

Fox Business On Ken Griffin

In a recent interview with Trey’s Trades, Charles Payne and Trey discuss the matter.

Charles pull up some information confirming about 60% of AMC was traded through dark pools to which he asks Trey if it’s possible AMC’s share price potential could be higher if it did not trade through dark pools.

And of course the answer is that both AMC and GameStop could reach higher potentials if the market was being run based on supply and demand without any dark pool manipulation.

Ken Griffin Lied FOX BUSINESS

My favorite line is when Charles says, “diamonds are created over a long period of time though a whole lot of heat and a whole lot of pressure, are the apes up for it”.

This is why I’ve grown to really like Charles Payne. He’s using his platform to fight corruption in the markets.

Charles Payne has given apes the mainstream platform we need and I’m glad Trey is the ape in our community to pass the message.

Time To Get Loud

franknez.com

This is the moment we’ve all been waiting for. Will you fight for what’s yours? Share this article with the community, tag our government leaders. It’s time for the MOASS.

#LiquidateShortSellers #KenGriffinLied

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Original publication date: 9/27/2021

Revision date: 9/29/2021


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