News & Politics

There’s a New Beast on Wall Street: Carnivore

(AP Photo/Mark Lennihan)

You may have heard their ads on the radio or on some of the more well-known podcasts. They call themselves “Carnivores” and the company is called Carnivore Trading.

They are a group of experienced traders who had long careers on Wall Street, and some of them are still there, secretly and silently sharing information on trades with an anonymous personality who goes by the name of Dutch. It’s a clandestine, secretive group of Wall Street traders who have all known each other for years, worked together side-by-side trading at hedge funds and some of the largest Wall Street firms. A very private group that shuns the limelight and has no desire for fame, they are exposing the lies that Wall Street has told investors for decades, according to Dutch, one of the inside guys at Carnivore. 

Carnivore says it aims to bring back the old ways of Wall Street, when the experienced traders taught the young up-and-coming traders how to trade and make “real money,” not the 7% a year that Wall Street tells investors is a “good return.” As Dutch has said, when they were on the Street, 7% was the goal for each month! Carnivore has exposed Wall Street for the “fee machine” that it has become, which Dutch says is often to the detriment of the investor. 

As Dutch puts it, “The Street is concerned with only one thing: making money off the investor, regardless of whether he or she makes money or not. They create fancy products such as mutual funds, hedge funds, private equity funds, and an array of other ‘wrap’ products that pay them year in and year out, no matter what the client’s performance might be.” 

“You can lose 30% on your money, and do they really care? No,” Dutch continued, “because they’re just getting their fees year in and year out. Instead of being concerned with your returns, they’re more concerned about making sure you just always stay invested in the market so they can get their fee. They tell you lies to make you think that investing in stocks is complicated and dangerous so that you will invest in their fee-based products. This keeps the cash machine running 24/7 for them. Our mentors taught us how to make real money trading stocks, and all we’re doing is sharing that knowledge, in real-time, with our subscribers.” 

The success stories the Carnivore Way claims to have enabled are astounding. One man started in May of 2020 and is up almost 300%. In another case, the Carnivore subscriber started in November of 2020 and he is up 90%. Some success stories are posted on Carnivore Trading’s website

Carnivore sends what they call “Instant Text Alerts” when they are buying or selling a stock, and the subscribers can mirror the trades if they wish using whatever trading app or discount brokerage of their choice. Carnivore recommends commission-free trading does not manage anyone’s money but their own. They just share what they are doing in line with their “secret sauce.” And at the end of each day, the subscribers get what may be one of the most insightful, and also entertaining Market Wrap-Ups around. 

It’s offbeat, it’s funny, it’s almost sometimes like a stream of consciousness from the Carnivore Trading desk at what Dutch calls, “The X-Mansion” where all the action happens. The Wrap is filled with funny memes, gifs, videos, and music — from the classics or current artists. But don’t be fooled. Although they like to have fun and laugh and joke around, the Wrap is filled with macro analysis, sector analysis, stock charts complete with annotations and commentary right on each chart, market commentary, fundamental narratives on certain stocks they’ve bought, and educational stories about how a trading thesis is developed and executed. As you trade and read the Wrap, the goal, according to Dutch, is to create a powerful group of what he calls “Hall of Fame Traders” who have learned the Carnivore Way. 

The Carnivores are already becoming a force to be reckoned with on Wall Street. They led the way a month ago by getting into the marine shipping sector in a big way and riding it up. The way that happened is a story of how Carnivore uses a “boots on the ground” approach to a trade or industrial sector, uncovers what others are missing but will soon discover, and getting into the trade first. They also leverage the entire network of Carnivores in all industries and all over the U.S. and Canada. In the case of the marine transportation trade, one of the Carnivores in a jet took pictures of Long Beach Harbor from the air so they could see how many tankers and container ships were stacked up waiting to get into the Harbor. Now that’s some due diligence. 

This is not unusual for Carnivore. One of the Carnivores in the homebuilding industry tipped Dutch and the group off to the fact that cement was becoming a problem — they couldn’t get any! This shortage in cement led the Carnivore team to do more work on the trade, and they found out along the way that steel and lumber were experiencing the same dynamics – shortages of supply and price increases. This put them into cement, lumber, and steel before the rest of the Street and they’ve been riding that trade since. 

Carnivore seems to be a group of very smart, driven, successful traders who have gone rogue from Wall Street. The subscribers are such fans that many of them started calling themselves “Carnivores For Life” and sign their texts and emails with the letters CFL. The energy of this group and its subscribers is fascinating. What they talk about around the trading desk is like watching an intellectual debate on every topic imaginable from how the Law of Vibration is applicable to stock trading to which of the ancient philosophers had the best insight into physics. It’s like a Joe Rogan 3-hour podcast with people focused on, and in love with, the market. And it happens every day. 

In a business that is sometimes boring to many and clinical in its communication, Carnivore is breaking all the norms. They are anything but boring.

Disclaimer: Carnivore Trading is not a broker-dealer, is not affiliated with any broker-dealer, and is not a registered investment advisor. Carnivore Trading holds no client assets and makes no recommendations and does not provide financial advice. This article is also not financial advice.