A case of straining at gnats and swallowing camels... SEC catching Martha Stewart selling some shares while at the same time allowing a product that can blow up the market. not too smart.
Any securities can blow up the market really as we saw in the financial crisis 2008 and it was just mortgages. And what happened on Feb. 5 is hardly a "blow up"; the S&P only dropped 1% LOL and it was NOT caused by the VIX products. These lawsuit is just ignorant idiots who's pissed cuz they lost some money due to them not reading and understanding what they read and still went ahead and gambled their money anyway. Now they are crying wolf because they can't get the money back cuz the fund is terminated. There are other funds there that they can still trade to get their money back? No, they choose to rather waste their money on lawyers and waste the taxpayers' resources on the judiciary system that really has nothing better to do other than listening to a bunch of whining crybabies. LOL
LOL If you have read the prospectus and understood it, you would know where it is. If you don't know, then you don't deserve to have it back. Go play with your GIC's. Have fun!
I don't understand the complaint at all. How exactly were the daily EOD values of the vix futures manipulated? What a ridiculous lawsuit and frankly all the negative press that was directed at short vol guys in the feb 5th aftermath was very overblown. It was a completely normal market and If the speed caught you off guard you were either a newbie or had become too complacent and reckless. Everything functioned just the way it should and if you were sized or hedged appropriately as a professional vol trader you would've come out just fine and just added this to the list of stories to tell.
As a matter of a fact, if you were hedged properly, you wouldn't have just covered your losses but you would've actually be able to walk away with profit on that day. All those people who are crying murder and launching those lawsuits right now are those who are gamblers who did not read or understand the prospectus and just gambled anyway and now have gambled away all their money and are now suing after being convinced by those vulture lawyers. CSFB is NOT going to give them 1 cent. LOL
What does it say? It can default under unfavourable market conditions? There is still price to pay for that.