01 — Retail is now a dominant force
Retail accounts for ~40% of U.S. equity volumes excluding market makers, exceeding hedge funds and long-only investors combined. This is a structural shift.
02 — The post-2020 surge has persisted
What began during COVID has not reversed. Participation has broadened across equities, options, crypto, and other asset classes.
03 — Access has reshaped the landscape
Zero commissions, improved platforms, and greater data availability have reduced barriers. Retail is more informed than in previous cycles.
04 — Dip-buying is a defining behavior
Retail consistently steps in during selloffs, acting as a stabilizing force rather than a source of volatility.
05 — Shift toward higher beta names
Leadership has moved from traditional large caps toward names like Nvidia and Tesla, which act as sentiment barometers.
06 — ETFs gain share in volatility
During uncertainty, retail rotates into broad ETFs, signaling a more diversified approach.
07 — Retail drives product innovation
Adoption of zero-day options and prediction markets shows retail shaping market structure.
08 — New products expand participation
Alternatives like prediction markets are additive, bringing in new users without replacing equities.