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SPDR Portfolio Short Term Treasury ETF T.SST.U


Primary Symbol: SPTS

The investment seeks to provide investment results that correspond generally to the price and yield performance of the Bloomberg Barclays 1-3 Year U. The fund invests at least 80%, of its total assets in the securities comprising the index and in securities that the Adviser determines have economic characteristics that are substantially identical to the economic characteristics of the securities that comprise the index. The index is designed to measure the performance of short term (1-3 years) public obligations of the U.S. Treasury.


ARCA:SPTS - Post by User

Post by tooclassyon Feb 23, 2007 6:56pm
120 Views
Post# 12301553

False reasoning used to knock the deal

False reasoning used to knock the deal'Firecracker'.. The sale of silver has been calculated by others as about $8.40 an ounce, not $4.00 like you claim. At $15 an ounce, the shortfall is $6.60 an ounce. Multiplied by 10 years that is $66M. However, $66M over a 10 year period is not $66M today. You have to use the net present value of that figure which results in a small fraction of that number. (I cannot do a NPV calculation on my calculator; maybe someone else will do one). If silver goes through the roof, so will the market cap of SST, and since CS will own 30% of SST, it will effectively have 30% of a ballooning market cap company. The increased value to CS through the increased value of SST and by using the $20M for investment in acquisitions or increasing production at Cozamin will more than offset the lost income.
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