ETF- Canadian financials Bear (short)

[aww1970]

Does anyone know of an ETF that shorts Canadian Financial institutions?

Searching with no luck.

[cmackie]

Here's a list of all ETFs on the TSX at the end of October

http://www.tsx.com/en/pdf/ETF_List.xls

[aww1970]

Thanks- nice list.

[rfdrfd]

Does anyone know of an ETF that shorts Canadian Financial institutions?

Searching with no luck.

HFD (HFU is the opposite)

[Thalo]

You want to short them now that they're 40% off their highs? Why not earlier?

[grant]

You want to short them now that they're 40% off their highs? Why not earlier?

The trend is your friend?

Personally i'm buying financials at this time. Someone's got to be on the opposite side right?

[brunes]

I think it is way too late to be shorting Canadian financial. Canadian financials actually don't have many prospective pending write-offs to worry about.

[Thalo]

Sure wouldn't have worked out today. Tomorrow maybe, but you would have had to get in before the close today, when the financials were at their highs. Check out after-hour trading of TD on yahoofinance.

[grant]

TD announced a common-equity sale, and RBC a preferred share sale. This could easily drag down the other big-3 since they all seem to be moving in tandem these days.

BTW royal just reported good earnings, but BMO reports tomorrow morning & CIBC reports on thursday. I think we can expect a real rollercoaster this week.

[konfusion666]

RBC hasn't reported yet. They're on December 5.

BMO's results this morning were great!

And I'm glad I don't hold TD.

[grant]

BMO's results were great but they're still down on the day. and down bigtime on the week! Oh well this market is nuts anyways. Every day is an adventure.

[aww1970]

You want to short them now that they're 40% off their highs? Why not earlier?

I have been long on CDN financials playing the swing on TD for the past 8 weeks or so with it working out good. I chose to do this with TD in case I got on the wrong side I have a near 5% yield -I would just wait as it was touted the best of the CDN banks. That is up until last week when TD dropped $13 in 2 days... I have gone from a trader to an investor with TD...

Then when you look at the crash of Citi and it makes you realize anything can go down to almose zero...

$50.00 was a deal for TD a week ago now we all hope to see a rally to $50 to get out.

With the pre-announced write down it made me doubt all financials hence me exploring the short position through an ETF.

[aww1970]

I think it is way too late to be shorting Canadian financial. Canadian financials actually don't have many prospective pending write-offs to worry about.

I hope you are correct, but lets see with CIBC.... Seems the skeletons in the closet have a tendancy to reproduce..

[rfdrfd]

If Cdn banks were doing well (or turning the corner), would they be trying to raise cash by selling more preferred shares?

Personally, banks aren't going up yet.

[Thalo]

I have been long on CDN financials playing the swing on TD for the past 8 weeks or so with it working out good. I chose to do this with TD in case I got on the wrong side I have a near 5% yield -I would just wait as it was touted the best of the CDN banks. That is up until last week when TD dropped $13 in 2 days... I have gone from a trader to an investor with TD...

Then when you look at the crash of Citi and it makes you realize anything can go down to almose zero...

$50.00 was a deal for TD a week ago now we all hope to see a rally to $50 to get out.

With the pre-announced write down it made me doubt all financials hence me exploring the short position through an ETF.

You're in the exact same boat as I am. I've been playing the swings for the past two years to such great success that I actually have a bigger capital gain to declare (after deducting losses) this year than ever before. Now I'm in as an investor, down $13/share but collecting a tax efficient dividend yield well above the going rate for GICs from a company that has been paying a dividend non stop for the past 150 years.

I did luck out and played a short swing from $39.60 to $43.83 though on some additional shares I purchased Friday and sold Monday.