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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: ggersh who wrote (22868)	9/22/2009 6:59:00 PM
From: RockyBalboa	Read Replies (1) \| Respond to of 71456

Slightly OT, as we had this discussion about ETFs earlier (see your remark: Message 25785284 and Message 25785284 , or earlier Message 25782396 ) now various tort lawyers smell the beef and are to my surprise, some are pretty concise. They also discovered the "megaphone" effect (5): finance.yahoo.com Defendants failed to disclose the following risks in the Company's Registration Statement: (1) inverse correlation between the FAZ Fund and the RFSI over time would only happen in the rarest of circumstances, and inadvertently, if at all; (2) the extent to which performance of the FAZ Fund would inevitably diverge from the performance of the RFSI -- i.e., the probability, if not certainty, of spectacular tracking error; (3) the severe consequences of high market volatility on the FAZ Fund's investment objectives and performance; (4) the severe consequences of inherent path dependency in periods of high market volatility on the FAZ Fund's performance; (5) the role the FAZ Fund plays in increasing market volatility, particularly in the last hour of trading; (6) the consequences of the FAZ Fund's daily hedge adjustment always going in the same direction as the movement of the underlying index, notwithstanding that it is an inverse leveraged ETF; (7) the FAZ Fund causes dislocations in the stock market; and (8) the FAZ Fund offers a seemingly straightforward way to obtain desired exposure, but such exposure is not attainable through the FAZ Fund.