New Day Traders to be Tested in 2021
Individual investors exploded on the scene in 2020 as many looked for something to occupy their time while locked up inside all day thanks to the global pandemic. Retail traders now make up a significant part of the market (Bloomberg)
At least 8 million new accounts were opened in the first three quarters of the year across brokerages including Charles Schwab Corp., E*Trade Financial, TD Ameritrade and Robinhood Markets Inc. Altogether, retail traders now make up a fifth of equity trading volume, according to Bloomberg Intelligence’s Larry Tabb.