Institutional investors win big鈥攃ircuit breakers give them time to reposition massive books during panic while retail watches frozen screens, unable to react to their own portfolios.
Exchanges and regulators benefit most: circuit breakers stop chaos from becoming a public meltdown and protect trust in the whole market.
Circuit breakers are just a timeout for the big boys. While retail panics, institutional whales use the pause to reset their algos and buy up the dip.
Circuit breakers are regulators' panic button to freeze markets and dodge blame when shit hits the fan. Exchanges win by keeping the casino open long-term.
