Investors chasing market themes are learning a familiarlesson: a hot investment doesn’t necessarily make for a profitable one.
The Roundhill Meme Stock ETF is up about 35% this year, including a 3.5% rise on Thursday, driven by gains in companies including AST Spacemobile, Terawulf, and Lumentum Holdings.
The AI craze has fueled both a huge rally in the shares of highly profitable chip companies and a return of speculative trading, featuring the embrace of leveraged ETFs, wild moves in smaller stocks and the sense that meme stock season is back.
“The retail army of traders certainly helps trends happen, but there’s obviously no free lunch in investing,” said Will McGough, chief investment officer at Prime Capital Financial.
Want to read the full article? Check it out here. Please note, a subscription may be required.
