Welcome back to the channel everyone today i want to talk about the smartest investor of all time and the most successful investor of all time, jim simons, buying even more amc stock and how there's no more shares left to lend now so stay tuned. And let's make some money, but guys before i dive into the video. I just want to give a massive shout out to the 3 800 of you that have currently dinged that notification bell, because you guys are always the first to watch a new video as soon as it's released so guys be sure to drop a like down below Subscribe to the channel and ding that notification bell, if you haven't already so that you don't miss another video, just like this one and just a quick one before i dive in with the key information, if you haven't already i'd, really consider joining the private discord linked In the description below so that you're alerted as soon as i place a trade so that you get instant updates and news and due diligence about amc and so that you're entered into a competition to win 600 on the 28th of august. Linked in the description below and now i want to dive straight in with the information so holy baloney.

Am i seeing this right. Renaissance technologies raised their stake in amc by three times and slashed their position in tesla by 75. For those who don't know, renaissance technologies is founded by jim simons. He was, and arguably still is, the best trader ever he averaged about 72 from 1994 to 2014 and averaged about 66 to 2020, and not a single person can top it yet because of his trading strategy.

This guy knows something we don't. The headline says: jim simon's rentec fund tripled its amc, stake last quarter and slashed its tesla holdings by a whopping 75 percent. The hedge funds bet on the movie theater chain soared almost 20 fold in value to 103 million dollars. Brentek held 138 million dollars of tesla stock, a fraction of its previous stake worth 14 billion dollars.

Rentec was founded by the former nsa code breaker and mit math, professor jim simons. It held about 516 000 amc shares at the end of march this year, and it's raised its bet on the cinema chain. A firm favorite of meme stock traders to 1.8 million shares last quarter. Regulatory filing show the value of rent x.

Amc stake ballooned, almost 20 fold to 103 million dollars in the three months to june 30th that reflected the fund's share purchases, as well as the movie theater group stock price, jumping almost 500 percent to 57, and it cut its position in elon musk's. Electric vehicle company from about 827 000 shares to only 204 000 shares reducing the value of its stake from 553 million to 138 million. At one point. Obviously, they held 14 billion dollars worth rentec.

A quantitative fund that trusts algorithms to decide. Many of its trades has owned significantly more shares of both companies in recent years, for example, it held nearly 3.5 million amc shares at the half-year mark in 2019, which would have been worth almost 200 million dollars two years later. Clearly, it sees that amc is on the way back up and wants to start building out that position again. He also owned a split adjusted 20 million tesla shares at the end of 2019, which would be valued at 14 billion dollars today.

The top three holdings in rentec's 80 billion dollar stock portfolio at the end of june were a 1.8 billion stake in novo nordisk. An almost 1 billion stake in very sign and an 810 million position in zoom. The fund also boosted its nvidia position by 150 and grew its amazon stake by about 16 fold last quarter, resulting in those two names replacing monster, beverages and target as its fourth and fifth largest positions. Personally, i think that rentec should just go 100.

All in on amc and buy out the entire float multiple times over and the amc apes will still have all of their shares because there's multiple times the float in synthetic shares at the moment, but obviously i'm not a financial advisor. So i can't advise rentec to do that, although it would massively help pointing out just how bad the synthetic share problem is. But let's dive into jim simons's trading strategy a little bit more how jim simons's trading strategies made 66 a year. The medallion fund strategy, jim simons, recently stepped back as the chairman of renaissance technologies, the asset management group that manages the most profitable fund ever the medallion fund.

What is the secret and lessons of the medallion funds trading strategies? How has jim simons managed to get a whopping 66 return on average for over 30 years? What kind of trading or investment strategies has the medallion fund and jim simons employed? The magic behind jim simons's trading strategies consisted collecting an enormous amount of data and analyzing the data to find statistical patterns and non-random events in a wide range of markets. Therefore, clearly, jim simons and renaissance technologies have analyzed all of the data that they could possibly get their hand on in terms of amc, stock and they've determined that amc still has room to grow. Part of jim simon's strategy is to minimize risk at all cost. Therefore, even though his returns on a stock by stock basis aren't astronomically high, he almost never loses in his predictions and has such a very low loss rate that his gains are abnormal.

Furthermore, jim simons and renaissance technologies have managed to put together a hard-working and secretive team where few of medallions strategies end up outside their offices, who is jim simons the greatest trader on wall street jim simons was born in 1938 and studied maths at mit later he Got his phd and used his math abilities to break codes for the us national security agency and teach at mit. However, jim simons is not known for his mathematical contributions, but for his track record as a hedge fund manager during his working career, simon spent considerable time trying to use quantitative methods and models to predict the markets. He didn't really succeed until the early 80s when he managed to put together a decent team of so-called quants. The medallion fund, which is closed for outside investors, performs the best.

This reminds us of a famous quote that benjamin graham made people who invest make money for themselves. People who speculate make money for their brokers. The medallion fund has outside investors, but for the most part it manages money for the insiders. Do they keep the best strategies for themselves, perhaps, but the main reason for the lower returns for the other funds are different strategies and holding times the mandate is quite simply completely different.

Renaissance technologies is all about the quantitative, investing over a wide range of asset classes. Equities, futures commodities, forex and perhaps even crypto, only quants are employed. Mathematicians and physicists are the main scientists behind the exceptional performance of the group. The managers use math and statistical models to both predict and execute trades all automatic.

Looking for what the models say are. Non-Random events and not likely caused by chance, therefore, they clearly think that amc is a non-random event and it's not caused by chance. They must be very confident on the amc short squeeze by using quantified trading strategies. The medallion fund managed to return on average 66.1 gross before fees from 1988 until 2018, because it's such a profitable fund, it charges huge fees on the unit owners.

The net returns are only 39. This is a remarkable track record significantly better than warren buffett's. The only difference being buffer has managed to grow exponentially, compounded and over a longer time frame. The only thing we know for certain is that the medallion fund and all of renaissance technologies uses 100 quantitative strategies to reap profits in the markets.

Simon's and his team use historical data and look for abnormalities or abnormalities that have been repeated many times. The holding time is short on average, probably just a few days. The fund is not investing, they are trading and they don't override their models. Furthermore, they most likely use a lot of payers trading and market neutral strategies.

They recruited most of the pair's trading desk at morgan stanley, when pairs trading was still in its birth in the 80s and here's the performance for the medallion fund in a table. As you can see, between 2007 and 2008, they returned an absolutely ridiculous amount for a hedge fund and those returns have been pretty stable. The entire time and interestingly they've also talked about the firm's leverage. The medallion fund has at all times used leverage, probably substantial leverage.

Many times the equity in 2007, the fund was actually in serious problems, but somehow narrowly escaped. The quote below is taken from pages 257 to 258 of jim's book on wednesday things got scary, simon's brown mercer and about six others hustled into a central conference room. One basket of stocks had already plunged so far. The renaissance had to come up with additional collateral to forestall a sale if losses grew and they couldn't come up with enough collateral.

The banks would sell medallions positions and suffer their own huge losses. Also, if you look at the data from stonks tracker, you can see the borrowed shares for amc is currently showing. There are zero shares available. There are, however, some etf shares available, but not many especially compared to what's usually available to borrow for amc stock.

Hopefully, this means that the funds won't be able to borrow loads of shares overnight and use it to crush the amc price. Tomorrow morning. Therefore, i expect tomorrow to continue amc's green run that is experienced today and on friday of last week, looking at the chart for amc and specifically the macd in either saturday or friday's video, i told you, the macd had just flipped positive and turned green. Today.

Amc has extended that green macd rally, and i expect that to continue on, for hopefully the rest of this week and the amc stock to push back up to 40 to 50 this week. On top of this, the number of options that have been taken out for this week is absolutely insane: we've got nearly 350 000 call options and nearly 300 000 per options. We haven't yet had any updated data for monday for the reverse, repo, daily treasury or inflation data, but i'll be sure to update you when that date is available tomorrow morning. Guys, if you want to pick up some shares in amc, but you haven't even yet signed up with a trading platform yet be sure to sign up with moomoo, using my link in the description below to get four free shares worth up to 3 350.

But remember to get the most out of those free shares. You have to deposit at least a hundred dollars and if not, ideally, five thousand dollars, because then you get all four free shares and if you're from the uk be sure to sign up with free trade linked in the description below to get some free shares and As always guys, if you enjoyed this video, be sure to check out some of my others, alternatively subscribe to the channel and in that notification bell, because that way, you'll be alerted. When i put a new video cheers:.