Australian Housing Index?

Discussion in 'ETFs' started by FXjake, Jul 28, 2011.

  1. FXjake

    FXjake

    I am wondering if there is an exchange-traded Aussie housing index?
    I am unable to find one if it exists, although a few years ago
    I heard some rumblings about the plan for one in Australia.

    I presume it was to be similar to the Case-Shiller index in the USA...

    Anybody know anything about this?


    http://en.wikipedia.org/wiki/Case–Shiller_index#Stock_tickers
     
  2. m22au

    m22au

  3. FXjake

    FXjake

  4. presume you want to short au property or hedge against drop. banks would be best bet. But shorts can be outlawed. There are also bank options. shorting aud may get you to poor house. Many tried, few have profited.

    also property is down in some areas big right now. This part may start recovering when other parts tanking, so overall index may not be down much if at all.
     
  5. m22au

    m22au

    If you short Aussie bank stocks, then (depending on which bank stock you're short) you'll probably pay a 5% dividend (or 2.5% twice yearly), plus dividend imputation.

    So you need to make a fair bit on the short position to compensate for dividend payment + dividend imputation.

    http://en.wikipedia.org/wiki/Dividend_imputation
     
  6. FXjake

    FXjake


    Am I the only one here that finds it ironic that this quote was made at the AUD/USD all time high?

    The market fell 1600 pips after this quote.....

    Good fuel for the contrarian fire.
     
  7. It's not like Case-Shiller is tradeable in any liquid form.
     

  8. Large one, thanks to me :mad: :D

    i did profit from this as well. Was in cash and scaled back in stocks.
     
  9. That's no problem - just wait for the dividends to be cut :)
     
    #10     Nov 11, 2011