(FLASH FRIDAY is a weekly content series looking at the past, present and future of capital markets trading and technology. FLASH FRIDAY is sponsored by Instinet, a Nomura company.)
The Security Traders Association of Chicago is hosting its 100th Annual Mid-Winter Meeting next week.
An event going for a whole century is a rare and noteworthy accomplishment. This is even more so the case with STAC when one considers that the Great Depression commenced in 1929, just two years after STAC apparently started. And of course the depression was no short economic downturn, rather it was a 10-year affair.
We’re not quite sure how early STACs looked and felt, but we can picture ebullient, high-spirited conventions with the finest meal and cocktail service in 1927, 1928, and 1929, and then increasingly spartan affairs in the 1930s.
Traders Magazine was unable to track down any materials from the earliest STACs, so we’re left with some internet sleuthing and our vivid imaginations.
We asked our AI overlords about capital markets conditions in 1927, and here’s what we learned:
“In 1927, U.S. capital markets experienced a significant and steady upward trend, marking the beginning of the final, intense phase of the ‘Great Bull Market’ of the 1920s. This was driven by a robust domestic economy, low interest rates, new technologies, and widespread speculative investing.”
Key trends in the capital markets in 1927 included soaring stock prices, easy monetary policy, expansion of credit and margin buying, innovation and new industries, the rise of investment trusts, high corporate profits and economic growth, and increased public participation and speculation.
What could have been served at a financial conference in a boom year? Fancy foods in 1927 included: oysters rockefeller, canapés and finger sandwiches, roast meats and filet mignon, duchess potatoes, Waldorf salad, pimento-stuffed celery, icebox cakes, and pineapple upside-down cake.
Conversely, what could have STAC been like in 1933, often considered the worst year of the Depression?
“In 1933, U.S. capital markets were primarily defined by extreme volatility, a major banking crisis and subsequent reforms, a shift in monetary policy away from the gold standard, and a temporary but sharp stock market rally.”
Panel discussions at 1933 STAC could have covered banking system collapse and reform, stock market volatility, the abandonment of the gold standard, and the introduction of securities regulation.
And for sustenance? Well presumably the conference served better food than was served in the typical US household, but meals could have features staples such as potatoes, beans, and bread, and resourceful dishes such as ‘Hoover Stew’ (macaroni, hot dogs, canned tomatoes), or bacon in spaghetti. Dessert could have been some type of ‘Depression Cake’, that used pantry staples like flour, sugar, cocoa, oil, vinegar, baking soda, and water to substitute for scarce and expensive eggs, butter, and milk.
We imagine the 2026 STAC will be similar to 1927 in terms of vibes; hopefully the 2032 STAC will be nothing like 1933.
