Bullboard - Stock Discussion Forum North American Financial 15 Split Corp T.FFN

Alternate Symbol(s): FNCSF

North American Financial 15 Split Corp. is a Canada-based mutual fund corporation, which invests in a portfolio of over 15 financial services companies. It offers two types of shares, such as Preferred Shares and Class A Shares. Its investment objectives with respect to preferred shares are to provide holders of preferred shares with cumulative preferential monthly cash dividends in the amount... see more

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TSX:FFN - Post Discussion

North American Financial 15 Split Corp > FFN - a perfect "Learning To Short For Dummies" play

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Post by amugsgame on May 11, 2022 7:40am

FFN - a perfect "Learning To Short For Dummies" play

Never been on the short side of a trade? FFN provides the perfect opportunity.Why you ask?

the last few days show that most retail buyers have no idea how the div on split common units work. That little sub $15 NAV detail is lost on the expected yield
the people on this board who calculate NAV are usually +/- a few pennies and so we know it is sub $15 at this point so no May div. Historically that means the SP will drop like a stone when this is announced since the premium to NAV ratio is way out of wack.

What this means is that you basically have insider knowledge that is publicly available (as odd as that sounds) and short side risk is as low as you'll ever see.

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Comment by navgod on May 11, 2022 9:08am

Only issue with your post is the limited supply of stock to be shorted when dealing with splitshares and FFN is no exception. Inventory is scarce and a buyin notice is always a risk. GLTA

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