Singapore Retail Investors Boost Nvidia Trading After CEO Resignation
Following Jensen Huang's resignation, Singapore investors sharply increased buying activity in Nvidia shares, with trading volumes on several platforms rising up to 13 times the prior average.
Retail investors in Singapore surged into Nvidia shares after the company's chief executive Jensen Huang resigned amid allegations of espionage and personal misconduct. The stock, which had already fallen during a broader AI sell-off, dropped another 14% when U.S. markets opened, prompting a wave of buy orders.
At brokerage platform Syfe, order flow spiked to about 13 times the daily average for the previous six weeks, and 70% of clients trading U.S. stocks that day dealt in Nvidia. FSM Global reported trading volume rising to 11 times its October daily average, with a buy-to-sell ratio of 1.35. IG saw volume nearly six times higher than the prior week and the number of clients trading Nvidia roughly double.
"Customers were placing buy orders within minutes of the price drop (when US market opened)," said Arpit Agal, head of brokerage at Syfe.
"Investors are not necessarily losing faith in Nvidia’s business, but are reassessing the risks associated with iconic founder Jensen Huang’s departure," said Jaycee Lai, head of clients at IG.
While many investors viewed the dip as a buying opportunity, some adopted hedging strategies. Moomoo Singapore recorded a three-fold rise in sell orders and a five-fold increase in put option contracts earlier in the week, though net buying remained positive. At Syfe, call options outweighed puts by roughly nine to one, with put orders climbing from 44% to 47% of activity.
Nvidia named chief financial officer Colette Kress as interim chief executive while it searches for a permanent replacement. Portfolio manager You Weiren of FSM Global said the transition poses challenges but noted continued demand for AI products. Analysts cautioned that further volatility could arise around Nvidia’s earnings announcement on Nov 17 and a congressional briefing on Nov 18.
Investor sentiment varied: some, like 52-year-old Asiya Bakht, added to her five-figure holding, while others, such as 29-year-old banker Joel Tan, plan to sell, citing concerns over the company’s future without Huang.