Venue to discuss pre-merger SPAC ideas.
As we are in a SPAC bubble with a number of stocks generating double/triple digit returns from SPAC mergers this year (as opposed to a terrible track record historically) and a number of members have asked about ideas of pre-merger SPACs.
I am personally very sceptical about SPACs from a fundamental value perspective. I think that the success of trading pre-merger SPACs depends on correctly guessing the hype a particular SPAC or merger will generate from the Robinhood crowd (no idea how to do that consitently).
But hey, blind pre-merger SPAC investing seems to work quite well this year, so as long as it makes money, why not.
Here are some resources for those interested in learning more about SPACs.
Good overview from Harward Law on SPACs what SPACs are, their structures and incentives:
A simpler presentation on SPAC basics:
Finally, some thoughts on the current SPAC bubble:
Bubble warning: even college kids are touting Spacs (Financial Times)
SPACs Could Be a Bubble That Never Quite Pops (WSJ)
Where Did All These SPACs Come From (Forbes)
Record IPO & SPAC Bubble (WolfStreet)