ETN UWT liquidation

[marketmania]

Citigroup is liquidating the UWT oil ETN

Why would they liquidate a highly traded ETN like the UWT.

It has high decay and contango. and lose way more value than drop in oil.

I assume the options that they use to are not liquid enough for the size of their assets. They had to liquidate.

 

[guru]

I don’t know why, but I traded GUSH and it also went down below $0.50, then it was reverse split 40:1 and now it’s back around $15. Not sure why UWT wasn’t handled the same way.

 

[Dustin]

There was a liquidation clause in the prospectus. It hit the max allowable % drop.