Stock ticker FAZ?

[NaturalMystic]

Got a recent tip on this stock any info? Thanks

[ILUVRP]

The fund seeks daily investment results, before fees and expenses, of 300% of the inverse of price performance of the Russell 1000® Financial Services Index. The fund normally creates short positions by investing at least 80% of net assets in financial instruments that, in combination, provide leveraged and unleveraged exposure to the index. It is non-diversified.

The ETF shorts financial stocks using leverage at 3:1, its all time high 11-21-08 was about $2000/share , its low was about $10.21 on 11-5-10.

If a person things the SHTF FAZ would be a great play. To me its the kind of stock to buy 50 shares , now $11.20/share and wait for a crash. If the DOW goes to 6000 again this stock could go to $50-75 pretty easy .

The $2000 a share was during the financial melt down. To me its like a insurance policy.

[cubical]

you will never see $2000 again or even close. due to the fact that it resets every day you are screwed in the long run. look at FAS its exact opposite. they both go down over time. I was actually short, both of these funds, but it turns out I had to pay fees every day to hold them short and it made the risk not worth the reward.

[Dforkus]

Leveraged funds are nothing but snake-oil.

A short leveraged fund is even more snake oil...

All that leverage is not free...

Insurance policy? Maybe for the people getting rich over servicing all that leverage...

[ILUVRP]

The way ETF'S are they will always will go down in value over time if things stay constant. But if a person thinks things are going to melt down , FAZ could go up very fast .

The way the FED is pumping money into the system ( banks & stocks ) it more than likley will not melt dowm , more like a slow death.

Insurance policy meaning to protect a part of stocks someone owns , its cheaper than buying puts which decay more than ETF'S over time if everything stays pretty constant over time.

[cubical]

but usually with a put you are risking a small amount. You will lose 100% with FAZ over enough time. I do agree though, if something big happens FAZ could have a nice run. The question will be, is it worth the hold.

[StilesBC]

If you need to ask what it is, you shouldn't be touching it.

[Bruno]

up almost 6% today as everything else is down

[Cowlesy]

Casino gambling.

When silver was off like a rocketship, if you owned AGQ you did extremely well.

http://finance.yahoo.com/echarts?s=AGQ+Interactive#chart1:symbol=agq;range= 6m;indicator=volume;charttype=line;crosshair=on;oh lcvalues=0;logscale=on;source=undefined

If I had any guts I'd short it.

[DFF]

FAZ-FAS are excellent for short term plays. But they move fast and you gotta know what you're doing. When the ES was at 1205, and the 5 EMA crossed the 10 SMA, I bought $12 Dec calls on FAZ. I'm quite pleased thusfar.