Ann: 2017 Financial Year Results, page-132

First 132 Last

Share
Profile

Follow
Auge

421 Posts.

15

16/09/17

23:17

Post #: 27268791
Share

Originally posted by nordesmic ↑

Not really good or bad. The ETF just does what it does. They buy or sell to meet the stock weightings in the portfolio. They don't do any analysis of companies to work out these portfolio weights, it's purely arithmetic based on market cap.

What I have found following this for a few years now is that the rebalancing days often act as turning points for a share price. This makes sense because traders often front run the share price ahead of the rebalance. Once they're out of it then the shares can trade more freely.

I also have a theory that since the June rebalance, which involved a one off more significant recomposition of the ETF, the GDXJ ETF has not had the same impact on trading as it once did. Last year SLR and RMS both got a rocket from the GDXJ purchasing shares. Now the stocks have been down weighted they don't attract the same flow of funds. Plus there has been a general stagnation of funds in the GDXJ despite gold doing well. So you have less flow into the ETF and less of that flow going into SLR than previously. I'm not sure where this speculative hot money is going but it is not jumping into this particular ETF at the moment.

Since there aren't large buyers willing to fill the void left by the GDXJ the share price has gone sideways.

Expand

Between the 90 % BigBullS**t posts here, yours is a bless to read. Someone who is doing research and analyzing. Good observation by you.

But i assume, it is senseless. Most investors are like goldfish`s. Every few seconds they forget everything you mentioned and will be heavy convinced, that just SLR is doing bad, everyone else great giant bullish.

regards
Auge

SLR Price at posting: 42.0¢ Sentiment: None Disclosure: Held
2 Upvote

0 Great analysis

Reply

Top Stories

RCE

Recce's R327 found effective against E.coli during clinical trial

SVL

Silver Mines models five new calderas close to 396Moz Bowdens deposit

LU7

Lithium Universe (ASX:LU7) board visits Quebec to engage key stakeholders

SS1

Sun Silver gets that drill to thrill feeling from high grade hits at Maverick Spring

Week 26 Wrap: Cerberus of inflation barks – rents, electricity & fuel – and world watches two elders bicker

CMX

ChemX Materials kicks off first stage works at WA high purity alumina pilot

Wealth Within weighs in on shock 4% inflation read – and stocks that could survive the gloom

LRV

Larvotto identifies new exploration target at NSW's Hillgrove, boosting shares by nearly 20%

Microcap Wrap: 5 explorers with news out today

AVA

Ava Risk Group expands US presence with A$0.7M Substation Deal