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Invesco Emerging Markets Sovereign Debt ETF V.PCY


Primary Symbol: PCY

The investment seeks to track the investment results (before fees and expenses) of the DBIQ Emerging Market USD Liquid Balanced Index (the underlying index). The fund generally will invest at least 80% of its total assets in U.S. dollar-denominated government bonds from emerging market countries that comprise the underlying index. The underlying index measures potential returns of a theoretical portfolio of liquid emerging market U.S. dollar-denominated government bonds.


ARCA:PCY - Post by User

Comment by Bottleson Apr 18, 2012 12:20pm
293 Views
Post# 19807910

RE: RE: RE: Financing

RE: RE: RE: Financing

"So 30 days from now do you seriously believe NKL will be trading at $3/share?  I don't think so....and everyone selling today, for tax loss reasons, will miss out."

 

Relax!

 

The question was why someone might be selling at these prices and I offered up a thesis/opinion.

 

The thesis/opinion is NOT tax loss selling but to chase investment opportunities elsewhere (ie: dead money). The rational being the expectation that there will be no news in regards to PCY and or NKL for at least 30 days thus providing the opportunity to buy back at similar prices while satisfying any tax consequences (ie; 30 day wash rule) that might be incurred. It addition, this thesis/opinion was rooted in lessoning one's holdings (ie: reducing exposure) thus retaining a position in the same.

 

I'm not advocating the same just pointing out that is most likely what we are observing per those who would sell at these prices. No conspiracy theories like financing related etc. etc.. Instead, frustrated investors who think they can make short term gains elsewhere with the monies invested in PCY and have enough time to buy back in before the stock price catalysts kick in (ie: PPA, EPC etc.). That or those who move on.  You know, so called "weak hands".

 

To close, timing is everything. That is why I just sit here and wait.

 

 

 

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