Blank check funds are hot but may be risky: ‘The trust level is through the roof’

SPACs, or special purpose acquisition companies, are a hot-ticket item on Wall Street. Retail investors are taking part in the frenzy. However, there are reasons for caution, according to financial experts, like Cordell Eminent Scholar Jay Ritter. Investors seem to be chasing past returns and buying star power of managers like Bill Ackman, Shaquille O’Neal, Alex Rodriguez and Colin Kaepernick.

See what Ritter had to say about SPACs in this story from CNBC.