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2,958.8 standard & poor's 500

There is a market maker that is supposed to keep the price in...

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jimk3758

21,671 Posts.

83

02/04/20

13:55

Post #: 43841230
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Originally posted by thermoelectric ↑

Would it behave differently than expected due to being traded? Say a lot of people want to buy and artificially drive the price of BBUS up which would presumably throw out the calculated gearing (just spitballing, I don't know if that's actually the case). It's all a bit magic, on their website they also posted some detail on how it reacts with the time difference between markets, seemed to make a bit of sense. It was at about 230% gearing yesterday so that figure swings around quite a bit.

Potentially that 0.756 leverage was around the time they rebalanced (every 2-3 days at the moment apparently), which could also distort the numbers.

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There is a market maker that is supposed to keep the price in line. I was told pre-market 9:50-10am and after market 10pm-4:10 pm is where you would get the most tracking error. I was told exactly at 4 pm is the best time. You could be correct about re-balance so I will check betashares website each day for exact gearing each day.

Value at posting: 2,958.8
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