Bye-Bye MacroShares

They are not ETFs. They are not ETNs. They are MacroShares, and after today, they are gone. Bye-bye MacroShares.

Back on May 15, MacroMarkets announced that today, June 25, would be the last day of trading for MacroShares $100 Oil Up (UOY) and MacroShares $100 Oil Down (DOY). The final value of the trusts will be calculated based on the August NYMEX light sweet crude oil futures contract.

Today, possibly for the first time in their life, both products are trading very close to their Net Asset Value. If you still own any MacroShares, you should be able to get out today, assuming you can overcome the bid/ask spreads.

As I reported back in May, today’s closing is being triggered by the failure of the trust to attract $50 million in assets. The “original” MacroShares Oil Up and Oil Down pair were forced to close when the price of oil skyrocketed in 2008, driving the value of Claymore/MacroShares Oil Down (former ticker = DCR) to zero.

Additional background on DOY and UOY:

• January 30, 2009 ridiculous 4:1 split
• February warning to investors that they do not behave like ETFs
• First appearance in ETF Deathwatch (March 2009)
• They are not ETFs

Disclosure: no positions

Comments

[ETF Grind:]

Good riddance. The last thing the ETF industry needs is a crazy product that tried to piggyback on its popularity.

Jun 25 01:46 PM

[dcb:]

go away cetin.


On Jun 25 03:32 PM tarp is a fraud wrote:

>
>
> 50 days in a row of increasing gas prices and STILL no rate hike?
>
>
> who can pay for this stimulus??? Your children, obviously. Why are
> banks so eager to return
>
> TARP? maybe it was all a huge scam??
>
> good site: www.bit.ly/12NCJR he's right
> we need to stop wall street & fed. Don't shake up wall street;
> no, shake them down.
>
> GS shuld be at 80>

Jun 25 04:42 PM

[Bob Mayo:]

Any recent word on their housing ones, UMM and DMM? After their IPO failed they said they would send them out via a market maker.

Jun 25 05:08 PM

[Ron Rowland:]

All quiet on the MacroShares Housing front, the most over-hyped product to never come to market.

Jun 25 10:59 PM