parity

Chinese, Indian Currency ETNs Launch

If the ETNs are tied to currency futures and if interest rate parity holds, then you are effectively getting a psuedo interest rate return based on the local interest rates. A higher local interest rate than US rate would mean lower future prices for the foreign currency than spot, which makes up the differences in interest rates. Does anyone know the answer to this? These are non-floating currencies after all.

Shorts, Rejoice: Double-Inverse ETFs To Begin Trading Thursday

What happens with the short interest rebate (net of dividends) or if they are using futures, the implied interest earned in contango.

First Marblehead's Family Affair (FMD)

1) SLM and STU are not exactly competitors. They may do student loans but primarily in gov't guaranteed space. What is the relevance of the revenue # when one is selling a truck and the other a coupe?

2) True. Although declining, they are concentrated and will be for the next 2 years. On the other hand, they are selling at 15x PE and 60% PEG.

3) You are scaring people without explaining what residual interests are. Every Finco has RIs. Are you going to bash WAMU, Countrywide, or JPM? If you want to question their assumptions, then that is another story.

4) That's a concern.

5) Analysts as a whole are usually a contrarian indicator. Are those #s in '000s or am I really looking at only 90 grand. I guess the latter, which would be a small concern.