Corporate Governance Gaming: The Power of Retail Investors

43 Pages Posted: 8 Apr 2021 Last revised: 2 Jul 2021

See all articles by Sergio Alberto Gramitto Ricci

Sergio Alberto Gramitto Ricci

Monash University

Christina M. Sautter

Louisiana State University Paul M. Hebert Law Center

Date Written: March 29, 2021


The GameStop saga and meme stock frenzy have shown the pathway to the most disruptive revolution in corporate governance of the millennium. New generations of retail investors use technologies, online forums, and gaming dynamics to coordinate their actions and obtain unprecedented results. Signals indicate that these investors, whom we can dub wireless investors, are currently expanding their actions to corporate governance. Wireless investors’ generational characteristics suggest that they will use corporate governance to pursue social and environmental causes. Their engagement with corporate governance has the potential to spark a social movement. The movement would be based on disintermediation of investments and aimed at bringing business corporations to serve their original partly-private-partly-public purpose. This article discusses premises, architecture, and characteristics of the movement that would cause business corporations to re-marry their partly-private-partly-public purpose. If such a movement proves successful, the paradigm shift that finally makes corporations serve the welfare of a broader range of stakeholders would happen at the hands of shareholders.

Keywords: corporate governance, ESG, corporate purpose, retail investors, institutional investors, gaming, WallStreetBets, social movement, diffusion, stakeholders

JEL Classification: K2, K20, K22

Suggested Citation

Gramitto Ricci, Sergio Alberto and Sautter, Christina M., Corporate Governance Gaming: The Power of Retail Investors (March 29, 2021). Nevada Law Journal, Forthcoming Vol. 22, Available at SSRN: or

Sergio Alberto Gramitto Ricci

Monash University ( email )

26 Sir John Monash Drive
Building S
Clayton, Victoria 3145

Christina M. Sautter (Contact Author)

Louisiana State University Paul M. Hebert Law Center ( email )

330 Law Center Building
Baton Rouge, LA 70803
United States
225-578-1306 (Phone)

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