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CI First Asset U.S. Tactical Sector Allocation Index ETF T.FUT



TSX:FUT - Post by User

Comment by j_harbaughon Mar 26, 2012 11:36am
203 Views
Post# 19717853

RE: RE: Topped up Today/Volume

RE: RE: Topped up Today/Volume

My account got banned because apparently I got too mouthy on BXI and SBS. I still have 1M shares core position in FUT. I built that up an extra 300K shares then dumped them at 2.5. We are at the point now where if you have a profit on your lowball bids that got filled, take it and use the money for more lowball bids or elsewhere. But leave your core position.

 

I am dumbfounded (in a good way) that they got more debt financing. Obviously the company is in the good graces of someone with deep pockets. This pretty much guarantees that the company won't go bankrupt or need a shareholder-killing recapitalization. Because if there was ever a more desperate time to do it, it would have been in Q1 2012 where we have had losses piling up and shareholder interest waning. No one would just dump another $500K into a stock with -$8M working capital and negative equity with no hopes of getting an equity recapitalization to save their investment unless they knew the company is going to come back with earnings and positive developments sometime soon.

 

On the flip side, I am equally dumbfounded by the continued poor trading in the stock. Since the financing and the announcement of 130 dealers, which are both peices of good news, there has been relentless dumping. Technically on this announcement, we should see breakeven by Q2 since there will be no excuses, there will be 130 dealers live for the bulk of Q2 and the CEO stated that was the breakven number.

 

I hear people are anxious and want a blog - but you can't pump a stock that's in the gutter. Our best course of action is to wait for the financials, get some news out and hopefully some more consistent buying. Then the stock can be pumped. Frankly I'm quite disappointed in Spinakker. Shouldn't they have been the one to get the word out on a stock? It's shameful that several people are calling out for an independant investor who isn't getting paid a penny (other than stock gains associated with the picks) to promote the stock when the people who got paid $5K a month to do that service did nothing. At least in my eyes they did nothing. Maybe they had a hand in the debt financings that took place over the past year or so but if they did it was completely unknown to shareholders.

 

I'm a little weary because I put a lot of time and effort into my research on FUT and have flushed $10K down the toilet for my efforts while other stocks out there like FSW, BXI, MKI, PTU and SPY have netted me decent to excellent returns upon much less effort in 2012, with SBS being a work in progress.

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