PCL and RYN- Pairs trading

Discussion in 'Stocks' started by xandman, Oct 28, 2013.

  1. xandman

    xandman

    Hello:

    RYN took a major hit recently. Is there a compelling reason to do a a pairs trade between PCL and RYN.


    RYN has more yield and half the valuation. Furthermore, I read somewhere that RYN has a more diversified timber portfolio.


    Given that we are in a frothy market and Reits have been volatile from taper talk. I would like to do a more market neutral strategy.


    What are the considerations? I hear the Bright people are really good at this trading.