RE:RE:RE:RE:FIRE on FIREnearnorth101 wrote: I guess we'll see over the coming weeks, I'm hoping both Fire and Fire.DB keep heading higher
Keep? FIRE.DB is basically on its all time lows.
The math doesn't make sense such that this situation persists until maturity. There should be lots of movement between now and maturity.
It's like that house analogy we discussed before.
The house (EV) is selling for ~$300m, the first mortgage (bank loan) is $60m, the second morgage (FIRE.DB) is $100m and the remaining equity (market cap) is $140m.
I think most people would buy the second mortgage for $27m before they would buy the house becaue 4x your money is a pretty good return but not when it comes to FIRE apparently or at least not yet.