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Mr. Pettis, I have admired your courage and honesty in reporting from China for several months as the World-Wide financial crisis evolves.
Sep 25 15:14 pm
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All Comments by johnthebear »China: A Run on the Bank of East Asia [View article]
I have invested in puts in FXI and in FXP using ProShares ETF.
I wonder if you have looked at FXP as an investment which is 2:1 bet against FXI? If you have analyzed this investment, could you share your thoughts as to how well this mechanism is working and likely to work in the future as financial strains become more obvious.
So far, the 2:1 ratio is working as advertised, but in view of the exchanges restrictions on shorting, I am wondering what might happen to this and other ProShares funds?
I also own shares in SRS which is the 2:1 inverse of IYR. I have looked at the prospectus which was not available on line when I first invested in both funds. It is complicated and I don't understand them. Any help you could share would be appreciated. Thanks, John