Natural Gas ETF Suspends New Shares: Are There Alternatives? [View article]
This is the pathetic argument i have heard before on here at SA regarding ETFs,
"Its really hard to buy futures and options, its so easy to buy an ETF".
Well my reply is, "Its hard to make money and easy to lose it"
If you cannot afford the margin for trading one commodity, i very much doubt you should be trading at all.
Your certainly not going to get rich buying a $500 amount of UNG.
I can see why these ETFs of all types are becoming a plague, there is just so many complete fools willing to buy them its scary.
Im sorry, but thats how it is.
On Aug 18 12:57 PM Chris Petrescu wrote:
> Maxe - when people gain exposure through an ETF, they're not subject > to any margin requirements. > Take for example the leveraged ETF's, or even the more legitimate > ones that actually own real shares of real companies. > Instead of screwing around selling options and such, you can, with > one click of a button, hedge and leverage up against or with an entire > sector by simply using cash on hand and have no margin impact.
Natural Gas ETF Suspends New Shares: Are There Alternatives? [View article]
"This move may keep the fund trading at an expanded premium to its underlying net asset value (NAV), making it more expensive for those retail investors who can only gain exposure to the gas futures market through the fund."
Why can some people only gain exposure through the fund?
Is there some law that says people must lose more money than on the underlying futures?
I can access NG futures for a $1.00 mini contract, is this too expensive for "some people"?
Natural Gas ETF Suspends New Shares: Are There Alternatives? [View article]
"UNG units are down about 46% this year, while NYMEX gas futures, which the fund is supposed to track, have fallen about 38% in the same period."
ETF's realy are fantastic!, Not only can retail investors choose to bottom pick in NG futures and lose a bundle, but they can pile into the NG ETF and lose even more, YEP, ETF's are great!
Natural Gas ETF Suspends New Shares: Are There Alternatives? [View article]
"Its really hard to buy futures and options, its so easy to buy an ETF".
Well my reply is, "Its hard to make money and easy to lose it"
If you cannot afford the margin for trading one commodity, i very much doubt you should be trading at all.
Your certainly not going to get rich buying a $500 amount of UNG.
I can see why these ETFs of all types are becoming a plague, there is just so many complete fools willing to buy them its scary.
Im sorry, but thats how it is.
On Aug 18 12:57 PM Chris Petrescu wrote:
> Maxe - when people gain exposure through an ETF, they're not subject
> to any margin requirements.
> Take for example the leveraged ETF's, or even the more legitimate
> ones that actually own real shares of real companies.
> Instead of screwing around selling options and such, you can, with
> one click of a button, hedge and leverage up against or with an entire
> sector by simply using cash on hand and have no margin impact.
Natural Gas ETF Suspends New Shares: Are There Alternatives? [View article]
Why can some people only gain exposure through the fund?
Is there some law that says people must lose more money than on the underlying futures?
I can access NG futures for a $1.00 mini contract, is this too expensive for "some people"?
Has the world gone totally mad?
Natural Gas ETF Suspends New Shares: Are There Alternatives? [View article]
ETF's realy are fantastic!, Not only can retail investors choose to bottom pick in NG futures and lose a bundle, but they can pile into the NG ETF and lose even more, YEP, ETF's are great!