Recent content by Tony O

Isn't that what I wrote? Faz goes up when the index goes down?

maybe it's because it's friday, and I'm not following you here. When the R1fks goes down, FAZ goes up right? if R1FKS goes back to 800, FAZ will be in the single digits or probably fairly close to zero, so i'm not exactly sure how it would EVER get back to 200 in that scenario. ????

but don't you mean, when the underlying instruments have not reset to levels BELOW where it was.. you are talking inverse here, right?

I've done this via simulation on several websites and as part of my desktop trading software. The main problem for me was already mentioned, you need a rather large reserve to be able to handle the rather large swings to either side and to avoid a margin call when you can least afford one...

Just curious as to why you would use NAV instead of the current price at the time of the trade? thanks Tony O