Why the heck didn't ERTS fly at the close?

G

goldenarm

I was looking to make a bundle on ERTS at the close and instead lost my shirt. Any ideas on why the stock didn't fly because of the S&P rebalancing?
 
One difference between ERTS and EBAY is that ERTS was already in the S&P400 index, so for some fund families they simply shifted the shares from the S&P400 fund to the S&P500 fund.

I don't think that completely explains it, though, because SDS was also a S&P400 memeber and it had a better finish.

I split money equally between EBAY and ERTS the last 15 minutes figuring at least one of them would spike. I lost some in ERTS, but struck gold with EBAY! Love those S&P500 adds.

Looking at the 'awesome' 2 pt move in EBAY at the close, makes you remember those crazy 15-20 point moves when other stocks got added to S&P500 in 1999 and 2000...

Fleance
 
You must log in or register to reply here.
Back
Top