Vladimir Senkov

New Russian Ruble ETF Offers Several Interesting Trading Possibilities

Yes you would have to pay interest, question is, how much interest?
My answer: I have no idea! the figure on the website changes daily and ranges from 3 to 21%. right now it's 21. I don't believe this rate can be correct. My humble attempts to figure out funds interest paying policy have failed so far. Prospectus states one thing, website shows something else. I haven't heard any good explanations from anyone so far.
My current opinion, based on the data i've seen so far, is that this fund is to be avoided. No matter what your strategy may be, if you could be wrong to the tune of 20% it becomes a real gamble, not a very educated one at that.
If we must learn one thing from this "crisis" and from the situation where a single guy managed to lose $50B of clients' money running a ponzi scheme, it's that _ANYTHING_ that isn't 100% transparent is bound to negatively surprise us one day or another. It may take 20 years, but it is bound to happen.
Based on the trade volume, I suspect that others who looked at this fund came to a similar conclusion.
I'm sorry to have come to this conclusion, but all "articles" I found so far were quoting each other and execs suggesting "interesting ideas" about how this fund could be used are nothing but a sell side push, a very obvious one at that.
I wish they pushed something with a little more substance, making this investment vehicle a little more transparent.
But I guess they thought there is such a lack of sophistication out there in the investment community these days that this would suffice. I guess they were wrong (based on the volume so far).

On Dec 15 07:04 PM adamnb wrote:

> But if you short the fund, wouldn't you have to pay the interest?
>