Scholars from Brazil looked at short-term retail traders with the Bovespa * index and found that out of 1,551 traders only 1.1% had an average return higher than Brazil's minimum wage for more. 1 year. About 0.5% of traders - who are followed for more than 300 sessions - earn more than the average salary of traders at banks.

Invest yourself! - is a slogan that has been very popular in the context of an outbreak of Covid-19 causing unemployment to rise, and so far many traders have achieved encouraging results. Goldman Sachs' portfolio of stocks popular among individuals has risen 78% since its lowest level on March 23, overwhelming a 51% gain on the SP500. But Chaque says their research - which includes trader activity statistics from 2013 to 2017 - is skeptical!


The 'favorite' shares of retail investors outperformed the rise of the S&P 500 this year.

"Day traders" are the growing forces in the capital market as the Covid-19 pandemic left millions at home and without much work to do. Brokers for retail investors have recorded record opening numbers at record highs, and free trading apps like Robinhood are making the market more accessible than ever.

Although an individual investor does not have as many assets as institutions, they are growing rapidly in size. Retail traders are currently the second largest army - accounting for 19.5% of all stock trading - in the US stock market, according to data from Bloomberg Intelligence. While market makers and high-frequency trading funds still account for the largest share at 43.5%, retail traders are now ahead of traditional investors like quantitative, hedge funds, traditional traders, and bank-affiliated traders.

Traditional currency managers are watching the retail trader renaissance with skeptic's eyes.

Trading has never been easy, look at the statistics. Maybe the current performance of some retail investors is very good, but to have an objective view it takes a long enough time.