“When Robinhood users pile into a stock in large numbers, the average excess return on the day surges to 14 per cent. But this is followed by a reversal of nearly five per cent over the subsequent month, a new paper found. “ http://www.bnnbloomberg.ca/herding-by-naive-robinhood-traders-may-be-good-signal-to-short-1.1522113#.X8ksByJDqVc.twitter

“‘Robinhood users are more subject to attention biases,’wrote authors including behavioral finance pioneer Terrance Odean. “The combination of naïve investors and the simplification of information is associated with herding episodes.’”

By a powerhouse empirical team, Brad Barber, Xing Huang, Terrance Odean, and my esteemed colleague Chris Schwartz