S&P 500 Index v. UltraShort S&P500 ProShares ETF. Ouch. Thanks Cox.
Chart after the jump.
(Hat tip – JAB)
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- Use the Bloomberg command
NH BLG_DEALBREAKER <GO>
to access Dealbreaker
seriously??? ever hear about special dividends
come on
#1 I don’t follow – the ultrashort EFTs are constructed from a swap on the underlying’s return. How would a special dividend result in them suddenly being positively correlated?
You have to be from Equities in Dallas to understand.
#2 they are correlated today since they are both unch’d?
what are you asking
is clay really out? maybe bernanke can help him.
is clay really out? maybe bernanke can help him.
I heard Clay Aiken likes Fritos.
Who is JAB?
Seriously, has anyone tried to short an ETF lately? There is zero borrow available…
On the SDS, pull a quote of it from Bloomie and a quote from Redi…
especially on chili dogs…..
This jumped out at me at about 9:31am today and I freaked a little bit. I had to double check with our ETF desk because I’d never seen a dividend that large come out of these funds.
SDS distributed $3.83
DXD distributed $3.65
to clay aiken “ETF”stands for extra tight fanny. ty.
8
Had trouble getting a borrow on IWM 2 days ago. IWM!
Clay Aiken is more man than Hilary Clinton will ever be.
any ideas as to why these extraordinary divs distributed?
they giving back the profit they made on AI and/or Lehman?
#’s 5,6 and eleven, i feel like we’ve met before??
*AIG
- 14
try and short the SPY… the SPY… seriously… let me know who has shares to borrow if you can…
It’s fucked up out there. Had a big position in SKF that I unloaded because I’m concerned about price action and now counterparty risks with the swaps. Imagine that the financial sector implodes and you fucking lose money on SKF!
@3 – nice “Liar’s Poker” reference
Just got a locate on 20K SPY. Took a phone call though.
#20, ty … will have my guys call around… can you hint to who is saying they have supply?
Damn, this conversation sounds like we are setting up a drug deal, or something illegal. Wait, is shorting ETF’s illegal now? I forgot to check today’s rule changes.
Oh, and one question to no… When did IBM become a financial that must be protected? WTF….
~SEG
@21 – Try GS.
Thanks #22, I tried Redi and it rejected, I had my desk call the Gs stock loan and they said they were giving them out earlier today, but now its Redi or nothing. No more loans over the phone…
So if someone else jumped the shark on SPY shares… hope the fill works… looks like I am stuck with my puts for now…
there is no borrow on just about any ETF, especially one with even 1 financial stock in it. overseas stuff a total no go as well.
@20, etc…Can’t you guys just trade S&P futures?
#3 are there Equities in NYC anymore?
Yes on futures, but limited to 5% total fund AUM for futures exposure. I reserve that % for my commodity futures exposure. Ergo I am stuck with hedging my equity risk via equity type exposure.
The end of financial shorts has caused my boys to turn to shorting blow off spikes in commodity stocks, which is about the last thing on the planet we would normally be doing. We have ran a long commodity – short financial trade for ages.
This market is getting harder and harder to maneuver in. We covered all of our shorts a week ago Monday when MER got owned… Sometimes its nice to be lucky verses good. Problem is I am down to puts for down side exposure…
~SEG
27- are you a fundie type investor? Surely there are plenty of other non-financials that are going to take a ride on the pain train.
was a fundie… will be again someday, however for now am just a long Vol junky…
I have removed all of my short vol trades… I have zero open margin over night now. Am sitting on a wad of cash and holding a basket of long calls and puts and I just toss shit over the side as it puffs up in value.
am green YTD and MTD so its working… but my internal volatility is eye opening… I am at historic levels of cash on the side lines to try and smooth the moves.
New York is dead. I WISH I was in Dallas, for the babes more than anything.
you can short SSO with a half position which would be a synthetic equivalent to shorting SPY full position.
SSO is double long of S&P