America’s retail army now rules the stock market
individual investors now dominate u.s. stock trading, with retail activity hitting record levels despite the iran war scare and other 2020 shocks. their share of total market volume has more than doubled over the past decade, according to data from bloomberg.
the pandemic turbocharged this shift — millions of new brokerage accounts opened in 2020 alone, many through zero-commission apps like robinhood. retail traders now account for roughly one-fifth of all stock market volume, up from about 10% in 2010. they've shown little fear, piling into dips during the march crash and again during the iran tensions in january.
the result: a more volatile, sentiment-driven market where a coordinated reddit post can move a stock more than an earnings report. institutions still hold the bulk of shares, but the retail army's sheer volume gives it real pricing power on any given day.
source: ft_home
sentiment: +0.70 · impact: 0.60