Reuben also acknowledged the impact that investment apps have had on allowing ordinary people to access the stock market, perhaps in the same way that social media gives everyone a voice.Ī post shared by Wall Street Bets memes you had to have a connection to someone in a suit and go into an office and open up an account.’ he began, ‘Now you can just download an app on your phone, as opposed to ringing someone up and investing, like what you see in The Wolf of Wall Street.’ The development of stock investment apps such as Trading212 and Robinhood have also made the gaining of profit possible with the tap of a button. ‘People are actually crazy about this stuff - all because it’s a meme!’ said Reuben Pritchard, Equality and Outreach Officer of the 93% Club. This clash between social media and the once-exclusive stock market has meant a new medium of communicating the seemingly complicated world of investment has been created, with the rise of overly-simplified investment-related memes. Since the rocketing in price of GameStop shares caused by WallStreetBets, the subreddit itself has risen from 400,000 subscribers to 9.2 million. It is a well-known fact that social media is a hub of glorification as well as our primary source of information. But, when ‘you hear about the person making millions from Bitcoin but not the person losing millions because of Bitcoin’, as Charlie stated, it is easy to overshadow the dangers of stock investment with the glorification of profit-making. However, another student investor, Charlie Perkins, countered that stock investment is definitely not a replacement for a job due to the risks involved. Lucas Hurley, one such student investor, explained that ‘It’s probably why a lot of students look to stocks – the minimum wage is so little that even investing in low-risk stocks can benefit students financially other than working.’ When presented with these statistics, stock investment offers an appealing solution to funding your university studies and lifestyle the prospect of working a minimum wage, part-time job alongside studying seems all too futile. 'It's probably why a lot of students look to stocks - the minimum wage is so little that even investing in low-risk stocks can benefit students financially other than working.' Another gained £110 profit in an hour and a half from investing in GameStop shares just before its peak. One student admitted to gaining a £4000 profit from a £500 initial investment in crypto currencies such as Ethereum. Speaking to a group of University of Bristol students, I found that stock investment seems to be a common interest and pursuit. So just how have students been affected by the popularisation of stock investment? The prospects of gaining large, short-term profits may seem enticing, especially to the student demographic who are renowned for financial struggle and are most engaged in social media content. Yet the reality of stock investment is effectively jaded. In addition, investment apps such as RobinHood and Trading212 allow for greater accessibility. Online platforms like Reddit brought the largely unreachable world of the stock market into the hands of ordinary people (or rather, away from the dictation of suit-and-tie investors) in the best way we know how – memes. 'Gamestop, the chain video-game retailer targeted by users of the WallStreetBets subreddit' / Flickr / Mike Mozart Left behind in the aftermath are greater challenges to social class barriers and inclusivity to the stock market, as well as an eventful milestone achieved in the influence of social media in creating a global market sensation. As a result, Wall Street experienced its very own fall from grace as hedge-funds suffered from the gains of the ‘little guys’ – the self-made heroes allowing greater accessibility for all to the stock market.Īlthough GameStop shares have now decreased in price to $41.00 after being pushed into what can only be called a short squeeze, the after-effects are significantly longer lasting. On January 29 th, GameStop shares peaked at $325.00, equalling approximately £232.00 per share.
The power of social media was illuminated after Reddit users in the subreddit WallStreetBets encouraged a surge in GameStop stock investment earlier this year, seeing a 700 per cent spike in share prices within a matter of days. By Flossie Palmer, Features and Opinion Subeditor
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