Quote from newwurldmn:
If the institution that underwrites the SVXY goes bankrupt.
I look forward to hearing how you top ticked puts after the SVXY has rallied 10 handles .
The institution is call ProShares. If they go under, SVXY won't be the only victim. Besides, it's ETF and its assets should be passed to the shareholders if the underwriter goe out of business.
That is one scenario but it is not unique for SVXY and very unlikely. Most people who say that it may go down to zero think of some sort of a broad market crash circa 1987 and I'd like see their logic.
BTW, if I take a position I will post a screen shot with a time stamp here :-)