Post by
Anonymous01 on Apr 22, 2020 9:05am
HOU Current Price Nav
HOU settles it's NAV at 2:30pm, when the Futures contract it is following closes for trading. It is following the June Crude Futures contract at this time.
At a 2:30 pm settlement on the June Crude Future of ~ $11.50, the NAV on HOU was $.37.
Given this fact, today the NAV on the HOU would be calculated as follows - 2x June Crude Futures % price move.
This morning, as I write this note, the June Crude future is up 16% - which means HOU should be valued as 2x 16% = 32% the NAV as of 2:30pm of the previous day. Therefore, it should be priced at 1.32 x .37 = .48 or 48 cents.
Hope this helps those who are confused.
Cheers
Comment by
halfcentman on Apr 22, 2020 9:12am
01, You forgot to add the "premium" that Horizon has noted in their statements. Yesterday the premium was 6.27 NAV. Based on your calculations price should be around 3.00 if it goes up as you say. (6.27x.48) Just a thought.
Comment by
Mat1791 on Apr 22, 2020 9:17am
Premium will continue to be based on trading bias. Oil going up will help, people will want in and not understand, especially now. However, will these changes be looked on as favourable for the pros and traders??? Lots of questions...