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Gold/Mining/Energy : Canadian REITS, Trusts & Dividend Stocks

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To: trustmanic who wrote (2590)	2/7/2002 3:40:37 AM
From: Peter W. Panchyshyn	Read Replies (1) of 11633

Lots of people short income trusts. ------------ I doubt if it is "people". "Individual investors". Most probably its institutional money. Going by the documented shorts done by Lorne. We see gains in the area of less than 2% or 1% on the undertaking. For an individual investor, joe average, this is just not a viable activity. With returns this low the $ amount of the short is going to have to be quite large. Well beyond what joe average is capable of doing. For example typically joe average may have a few thousand to put into something. With a few thousand what does a return of 1% or 2% translate into. For say $5000 a return of 1% equals $50. The costs of doing this eat up this gain. Making the whole undertaking a waste of time --------------------------- but to short something like sardine, well I don't know. --------------- Your right it doesn't make sense at all for joe average. Who has neither the time nor the stomach for such an undertaking. And a simple look to the numbers show it to be the case beyond any doubt -------------------

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