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Vanguard’s Buckley Sounds Alarm on Prediction Markets’ Predatory Lure for Retail Traders
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Vanguard’s Buckley Sounds Alarm on Prediction Markets’ Predatory Lure for Retail Traders

WebProNews·Ava Callegari·about 1 month ago
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Tim Buckley doesn’t mince words. The CEO of Vanguard, steward of $12 trillion in assets, sees prediction markets as a new frontier for financial predation. Platforms like Polymarket and Kalshi, he warns, exploit everyday investors chasing quick wins on election odds or geopolitical bets. Financial Times broke the story, quoting Buckley directly: they amount to ‘financial exploitation.’ Prediction markets have exploded. Crypto-powered sites let users wager on anything from Fed rate cuts to Oscar winners. Volumes surged during the 2024 election, with Polymarket alone handling billions in trades. Regulators greenlit event contracts on Kalshi last year via CFTC approval. But Buckley, whose firm built its empire on low-cost index funds for the masses, spots a trap. These aren’t sober tools for crowd wisdom. They’re casinos dressed as oracles. Retail pours in. Unsophisticated traders bet on headlines, ignoring house edges or liquidity traps.…

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