Short Selling Expert Who Surrendered to Ants: "Permanently Giving Up Short Selling"

Strategy Shift After GameStop Investment Failure

[Asia Economy New York=Correspondent Baek Jong-min] Citron Research, a representative short-selling investor in the United States, has declared that it will abandon its short-selling investment strategy.

This can be seen as the beginning of a change among short-selling investors amid rapidly worsening public opinion in the U.S. regarding short selling following the sharp fluctuations in GameStop's stock price.

Andrew Left, founder of Citron Research, announced on Twitter on the 29th (local time), "I started short-selling analysis 20 years ago to protect individual investors against Wall Street, but I will now abandon the short-selling investment strategy."

Instead, he stated, "From now on, I will focus on finding blockbuster stocks for individuals." He also emphasized that Citron's long-term investment stock returns rose by 121% last year.

Andrew Left was the one who targeted GameStop, whose stock price rose due to concentrated buying by individuals, as a short-selling target. He claimed that GameStop's stock price would fall to $20, which angered individual investors. Individual investors fought back by purchasing large amounts of stock purchase options in both the spot stock and derivatives markets, driving the stock price up.

Eventually, Citron Research had to cancel its investment strategy announcement regarding the decline of GameStop's stock price and close all short positions after suffering severe losses.

There were also reports that last week, Left called Jaime Rogozinski, the founder of the online community Reddit's 'WallStreetBets' discussion forum, which led the rise in GameStop's stock price, asking for help but was refused.

Meanwhile, on the same day, GameStop's stock price was trading around $330 on Robinhood, up 72% from the previous day.

This content was produced with the assistance of AI translation services.