Everyone loves it when the little guy beats the big boy titans. Or do they? What is the real story about what happened regarding GameStop stock? What does it mean for crowdfunding issuers and investors? In this podcast, Michael Brette from Small Cap Equity Advisors breaks it all down from every angle, including how a “short” works, how influential big-tech companies love hedge funds, why Robinhood maybe shouldn’t take all the blame for any claims of market manipulation, and why going with a full service broker may be a better alternative to avoid similar pitfall situations.
When retail small guys sitting in their basements conspiring on Reddit and bidding up a stock with their Robinhood app crush the hedge fund giants to the tune of $20-50 BILLION dollars, you have to be concerned about the implications of such an event. When big boys see an opportunity to crush a stock, it’s called “shorting”, but when the small guys do it, it’s called market manipulation. Even though commission-free broker-dealer Robinhood got all the attention through this whole fiasco, perhaps there’s more to the story?
There are many ways of looking at this situation, but as Mr. Brette mentions on the podcast, if you continue to look at a company’s fundamentals and long-term growth in a growing industry, investors should be confident that the market is on the level. That is why it’s so important for issuers to use Regulation A to take their company public. Learn his investment strategies which can be applied above and beyond anything that the Gamestop controversy illustrates, but make sure you avoid what he calls “dead money”.
Fear not, crowdfunding investors. Deals are out there…you just have to do your due diligence and make sure a company’s fundamentals are sound. Get going now! And issuers, if you do things correctly, your offering documents will do all the talking for you. And speaking of talking, you can contact Mike by phone at 951-236-8473 or by email here if you have any questions or want to move forward taking your company public and accessing the capital markets. In addition, you can visit his website at InvestorAttractionSecrets.com
You also may be interested in reading his published books: Raising Capital for Your Business (part 2 is in process and should be available soon) and Asset Protection Planning: How to Protect Yourself from Lawsuits
ABOUT OUR GUEST: Mike Brette
Michael N. Brette, J.D. advises clients on a wide variety of transactional business matters from startup consulting, Equity Crowdfunding, 506(c) private placement, REG A+ offerings, capital formation, going public, arranging capital for publicly traded companies.
Mr. Brette has published two books Asset Protection Planning and Raising Capital For Your Business ( Amazon ). He has appeared on more than 450 TV and radio shows discussing various business and financial topics. He has a Juris Doctor ( law degree ) for 42 years and is listed in Who’s Who in the World and Who’s Who in Industry, Finance.
All information provided is for informational purposes only. Mapable USA is not a registered broker-dealer, funding portal, or investment advisor. This information presented on this website/podcast is not intended as legal or investment advice for anyone to make an investment in any particular company and is not intended for any companies to rely on this information to form an opinion to go public or not to go public or to do any type of offering of securities. Any information presented is not an offer or solicitation to purchase or sell any securities or financial products. None of the information on the Mapable USA podcast or website takes into account any individual person’s personal objectives, financial situation, needs, or particular circumstances. You must check with a securities attorney to find out if an offering is for you, or if you are going to be in the business of selling any type of securities, you need to make sure you are following your state and federal legislative law so you do not get into any troubles. Do not use the opinions as stated on this show as any way to form an opinion as what is wrong or right or what could be done for your business or as an investor. Mapable, LLC recommends you obtain your own financial, legal, and taxation advice before making any financial investment decision.