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Take advantage of the pull back

     Last night in preparation for today I was speaking with a student and fellow investor. We talked about her portfolio and how I felt she was over weight in the financial sector. We also talked about the possibility of a pull back and what actions she could take. I suggested that she buy the FAZ to protect her investments, this would be about the simpliest way to hedge against a loss and still be able to keep her current portfolio. I should tell you she has more than doubled her portfolio this year and with a little help last year had some very small losses, also her trading stile is as a long term trader so selling her position doesn't make much since for her, so protecting them is very important. This is a nice easy trade because if her stocks go up she will lose a little in the faz but if we do have a pull back and I believe we will she will earn money on the faz. I no the pundits don't like this etf because it is 3x's the inverse but I think that's the beauty of it. I you have 10000 investment in the financial sector you can protect yourself by investing roughly 3333. This is definely the upside to these type of inverse funds.

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