Despite a recent sharp drop in U.S. stock markets, retail investors continued buying shares, particularly in tech stocks like Nvidia, Intel, and AMD.
Research from Vanda indicates that individual investors were net buyers, taking advantage of falling prices rather than capitulating.
Robinhood Markets saw a surge in retail investor deposits, receiving $1 billion in new cash in early August, including $500 million during the market selloff.
However, technical issues at Blue Ocean ATS prevented some clients from executing trades during this period.
Conversely, JP Morgan analysts reported that retail investors were significant net sellers early in the market decline, contributing to the volatility.