Retail traders and investors often don’t get the credit they deserve. But in April, they showed they’ve got serious market smarts. While headlines screamed about a tanking stock market — remember, post-Liberation Day— retail investors waited patiently. And when the time felt right, they jumped in, adding $40 billion to the stock market during the month. Just this past Monday, retail investors poured another $5.4 billion in by day’s end. That was more than a third of the day’s trading volume! If this keeps up, May could beat April in terms of total inflows. Lessons From the Past Many of you probably remember the dot-com boom and the painful bust that followed. A lot of retail traders jumped in thinking they were buying the dip. Unfortunately, the market had other plans. Many retail traders got wiped out because they ended up buying at the peak rather than the dip. This…
