I did promise some graphs this week. Also, there is some general craziness with the DB X-Tracker ETF. But more on that in a moment. First (the first of what will be many many graphs and tables):
And the monthly guys:
But that’s all just numbers. Here are some graphs showing how those investments have been doing since we started:
Did you notice that little pink line at the end there in the first one? It’s the DB x-tracker MSCI World Index ETF (AKA the Circumspect Whore). It seems that the fund’s value dropped by about 98% yesterday. Which is, you know, a bad day.
And here are the investments, not including the Art Enthusiast and the crazy DB x-tracker situation:
What is going on with the Circumspect Whore?
Have a look (thanks Bloomberg):
To be honest, I suspect that Bloomberg has a data glitch. But if it doesn’t, I would be saying “GO OUT AND BUY. GO OUT AND BUY NOW.” Because:
That negative premium of -97.53%? That’s the discount to the underlying assets. And here’s some of what is underlying:
There are those that, at this point, might turn around and say “Geezlike – at that kind of discount, something must be seriously wrong. I mean, perhaps the JSE has suspended trading, or has discovered a fraud, or something?”
And that might be true. However, you could buy a unit today (at least, according to Bloomberg) for 45 cents. I’d be willing to toss, you know, R5,000 at it. Probably more.
If you lose R5,000, then that’s a knock, but nothing too hectic. On the other hand, if it recovers, you’ll be holding about 11,000 units. 11,000 units is theoretically worth R202,000. Which is a 4000% return. Which is totally worth the risk.
And when I say “probably throw more at it”, I mean “but so much more”. Because Deutsche Bank is hardly about to let its fund trade at that level. And whatever is causing the fund to trade there, it’d be doing its utmost to sort.
But like I said – I suspect a data glitch.
In other news, here are the indicators:
And here are some indicator graphs:
*runs around to find out whether this is, in fact, a data glitch*