Retail investors bought a record $2.2 billion of stocks on Monday, with many seeking shelter in ETFs as the market melted down, data shows

SourceBusiness Insider
SectorFinancial Markets
CountryMiddle east

Retail investors shoved more than $2 billion into the US stock market during , taking advantage of sliding prices largely by ramping up purchases of shares in major index funds, data released by Vanda Research Wednesday showed. Individual investors bought a record $2.18 billion in equities during the selloff at the start of the week, Vanda said in a note. The worst session for stocks so far in 2021 was set off by fears that rising COVID-19 infections will derail the recovery of the global economy.

The benchmark index dropped 2.1% and the tumbled by 726 points. Retail investors usually buy more stocks on days when the S&P 500 is significantly lower and they do so through index ETFs such as the and the said Vanda Research, whose VandaTrack segment watches retail investor activity in 9,000 individual stocks and ETFs in the US. “What’s striking about Monday’s print is that ETFs accounted for 44% of total retail purchases, when the...read more...