don riley

Assessing The Tech Trouble At The NYSE

Paul,

I totally agree with you. I would have happened no many how many specialists and floor traders were there. This is 2007 and humans have to interact with machines. The less the better. The hybrid system will not last long. Reg NMS will force the NYSE to basically go all electronic. Decimals and electronic trading have taken away any profit incentive of being a specialist and providing liquidity. There is no reward so why should humans and specialists firms take the risk !!!!! Get ready for trading collars.

Don Riley
West Chester, PA

CEF Long-Short Pair Trade: Premiums vs. Discounts

The big problem with the pairs strategy is most of the ETF's with real high premuims are very difficult or immpossible to borrow. So you can't short. I have been trying to borrow CRF forever from one of the biggest brokerage on the street and cant get a share. Even a lot of the etf's are often hard to borrow. I often short the IYR (REIT Holder) and it is always hard to borrow.