For those who bought the Proshares Financial Ultrashort ETF (SKF) in anticipation of a drop in financial meltdown, tough luck, you are banned from selling this ETF by the power vested in the SEC ( even as it had dropped the past two days ).
http://seekingalpha.com/article/96387-here-go-the-short-etfs
Things like this make me wonder what country I am in.
I’ve received many emails and yes, Ultrashort Financial (SKF) is halted and it looks like we are stuck with it until October 2nd. At which time the government can decide if the peons can trade it again. If not they can push out the short ban for 30 more days.
Which will take us to November 2nd.
Which I believe is election day.
How convenient.
Update: ProShares announcement. You are now free to sell at a 35% loss. I still think they’ll keep the short selling ban until the election.
Update: Reports both SKF and SEF halted due to lack of counterparties.
ProShares is not an up and up company in my opinion. They may not actually short the stocks but use puts, leverage, and other methods to simulate double shorting. Their expenses are high so even if you are right about the direction of a stock you may not make any money. I wanted to short the ultra-short China FXP at 140 a few days ago, and would have been up over 40% now, but it’s not available for shorting. Shorting a ProShares short would be a good way to go long because then their high fees work in your favor.
That is ludicrous. I’ve traded SKF in the past. Our liberty has been taken away from us without even a peep of debate.
Stop the bailout.
http://www.stopthehousingbailout.com/
I wrote my Congresscritters and I urge all others who see this as a threat to the capitalist system to do the same.