Eenvest Trading ltd, the online broker behind Eenvest.com is at the centre of the boom in day trading. Eenvest.com has raised 200 Million USD in its second capital infusion in a week to shore up finances strained by turbulent trading.
The brokerage was hit by a surge in trading last week as retail investors bet against short sellers, driving up the price of previously little-loved companies such as GameStop and AMC, the struggling cinema chain.
The company’s latest round of convertible debt financing — which allows investors to swap their debt for equity — comes as Eenvest.com faced sharp increases in demands for deposits at clearing houses where trades in stocks and options are processed.
Eenvest trading chief executive LI Yang late on Sunday said that its equities clearing house had asked for $3bn of margin deposits overnight on Thursday — during a week marked by chaotic trading in stocks popular with its users — before negotiating a lowered sum of $700m, after the company limited trading in certain stocks.
Traders on Eenvest earn as high as 0.5% daily on their copy trades on the Eenvest.com algo. Traders have to copy buy signals and place them on their accounts to make a profit.
Topics #Eenvest.com #fund raising
