Retail Resolve & Future Trading Dynamics

Jonathan Rosenzweig discusses the recent surge in retail trading and the long term implications for markets with Michael Masone, Head of Americas Equity Market Structure at Citigroup, and Erica Elliott Richardson, a Managing Director leading the Financial Services Public Affairs team in FTI Consulting’s Washington office. In addition to meaningful gains and losses in select securities, the spike in retail activity has generated volatility in markets, severely impacted certain well respected institutional investors, left some trading platforms scrambling, and caught the interest of Washington. What could this mean for the future of stock trading? Filmed on February 16th, 2021. Key Learnings: Regulators and (to some extent) law-makers will take a close look at the dynamics around retail trading, payment for order flow, clearinghouses, and short-selling. The result is likely to be better transparency, investor education and clarification around how to integrate nearly century-old legislation with modern technology. The risk is that politicians leverage this high profile issue as a means to address unrelated financial markets policy ambitions.