Asset Management

Fund managers eye ‘mis-pricing’ to scoop up stocks in GameStop market frenzy

'There are fewer traders who are acting to move the prices back in check and to their intrinsic fair valuations'

Friday 29 January 2021 at 00:01

Some long-only fund managers are adopting a more long-term approach to the GameStop retail boom
Some long-only fund managers are adopting a more long-term approach to the GameStop retail boom Photo: Getty Images

Fund managers are poised to exploit potential mis-pricing opportunities that arise as a result of the GameStop fallout, as analysts and market experts predict future melt-ups driven by an army of online retail investors.

The GameStop short squeeze, which has left some big-name funds reeling, is expected to be one of many. Some see armchair investors hunting for their next target.