The market functions in the two most powerful emotions of fear...

The market functions in the two most powerful emotions of fear and greed .

It is also a voting machine not a weighing machine.

if there is a whole new breed of investors ie a whole cohort of millennials on government stimulus who are in lockdown and simply trying to better themselves as investors as they don't know if they are ever going to work again you have the perfect storm of fear and greed

BNPL appeals to millennials not only as a lifestyle choice but also an investment proposition.

None of these stand alone BNPL companies will ever make a profit as they depend on loans from financi institutions they are trying to disrupt, but unfortunately until the new breed of investors get wiped out the lesson will be a harsh one.

The directors of BNPL companies are smart enough to tap into this millennials mindset and impress them with PowerPoint presentation, when market professionals are not buying the story.

But you cannot go against the voting machine and it's a laborious process to short the stock until new investors get badly burnt

Directors award themselves millions of shares out of thin air and millennials buy the story that even when they are selling heavily they still have x percent.

So what that X percent cost them nothing.

Its simply a transfer of wealth from retail punters to their lifestyles in a tax haven and they are reliant on retail bidding up the stock

Personally I'm long Zip at the moment as nothing goes down in a straight line but I don't expect them to be in business for more than two years.