2026 TeoTwawKi ... 2032 Darkest Interregnum Message Board

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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum

GLD 389.05

+0.4%

Dec 10 4:00 PM EST

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To: Taikun who wrote (28372)	1/25/2008 9:49:32 AM
From: aknahow	Read Replies (1) of 218385

The "authorized participants" are given the opportunity to make money by selling shares short, knowing they can deliver physical gold to obtain new shares to cover the shorts. When shares trade below their value in physical gold the participants withdraw gold and sell gold to buy shares. This works to the benefit of the non authorized participants by keeping the spread between the value of the shares and physical gold very small. You too can be an authorized participant. Once you have the capital to trade hundreds of millions of securities and commodities you can apply and your qualifications will be evaluated. I myself do not intend to apply. Having qualified authorized participants act for their own benefits what is brilliant and makes GLD work. Neither the management of GLD nor the participants need have any view on the direction of the price of gold. Participants only care about the ability to act efficiently enough to take advantage of any discount or premium of shares to their value in gold.

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