XIV and SVXY: possible liquidation by issuer

Discussion in 'ETFs' started by m22au, Feb 5, 2018.

  1. My thoughts to you friend, I can't recommend anything reasonable.
    #11     Feb 5, 2018
  2. Visaria


    Sell it for whatever u can get....not sure if after hrs still going.
    #12     Feb 5, 2018
  3. Max E.

    Max E.

    Absolutely insane move in the volatility ETF's today, thuis is what happens when everyone gets complacent.
    #13     Feb 5, 2018
  4. S2007S


    Should be interesting to see where it opens tomorrow...it's already down 80% after hours...never seen anything like that before....I read that the xiv was a very highly traded vehicle....I'm extremely tempted to buy but will hold out until tomorrow...if anything shorting volatility is going to be extremely profitable in the next few days!!
    #14     Feb 5, 2018
  5. kiev


    The price of svxy is around 20usd, does svxy worth that price? Should I sell it out as early as possible?
    #15     Feb 5, 2018
  6. Max E.

    Max E.

    Its tempting to short it but with the way algos work if the market gaps up 50 points tomorrow and all the other volatility instruments crater, XIV could open at 60 just cause of the arb that so many algos run, not worth the risk even though its most likely going to zero.
    #16     Feb 5, 2018
  7. fhl


    Termination event when down 80%. That's it for those two etf's.

    Will it take other things down with it? We'll see.
    #17     Feb 5, 2018
  8. m22au


    Possibly CS:

    CS down 5% after hours

    #18     Feb 5, 2018
    beerntrading likes this.
  9. It depends...it's really something you need to decide. I'm not clear in the inner workings of it, but it looks like you've already absorbed 80% of the downside, and it's possible this is panic that will not manifest during RTH...I'd have a clearer answer for you if I understood the product better.
    #19     Feb 5, 2018
  10. m22au