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$19.36 betashares crude oil index etf-currency hedged (synthetic)

Im in the exact same boat mate. Well explained and confirmed my...

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what86

3 Posts.

05/06/20

08:40

Post #: 45050278
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Originally posted by dutybound: ↑

I only used to hold ETF's to obtain exposure to markets that I can not hold directly. What has happened here has opened my eyes to a change in my investment strategy that if I can't hold the inderlying myself then accept you can't invest. All that will happen here is that the cost of holding the future will continue as eat away at returns, but not get the benefit of being exposed to the upside movement that was always going to happen when the bottom of the market was reached back in April.

The one-month oil price has skyrocketed from its lows, while OOO has effectively flatlined, never to recover IMO, given the way that the ETF works. What will probably happen is that as soon as they make a decision to change back to one-month, it will inevitably be at the top of the market after the run has occurred.

This is the equivalent of selling low and buying high.

A very expensive lesson for me, and as soon as I think that the price of oil has steadied it will be time to exit forever.

Fool me once, shame on you, fool me twice, shame on me.

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Im in the exact same boat mate. Well explained and confirmed my plan to exit for good. Should have stuck to trying to play the oil price via STO or the like. Cheers

OOO Price at posting: $19.36 Sentiment: Sell Disclosure: Held
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0 Great analysis

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