ETF What happens when an ETF price goes to zero?

Discussion in 'Shares & Funds' started by devank, 22nd Apr, 2020.

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  1. devank

    devank Well-Known Member

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    Take OOO (Oil price ETF) for example.
    It was floating around $13 and now around $2.9.

    What happens to this ETF if the price hits $0.00??
     
    devank, 22nd Apr, 2020
    #1
  2. iloveqld

    iloveqld Well-Known Member

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    Maybe, it will go to 0 and then negative :D
     
    iloveqld, 22nd Apr, 2020
    #2
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  3. Redwing

    Redwing Well-Known Member

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    [​IMG]
     
    Redwing, 22nd Apr, 2020
    #3
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  4. SatayKing

    SatayKing Well-Known Member

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    It's a synthetic. Goodbye sunshine and kiss your wallet farewell.
     
    SatayKing, 22nd Apr, 2020
    #4
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  5. Redwing

    Redwing Well-Known Member

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    Redwing, 22nd Apr, 2020
    #5
  6. c_west

    c_west Well-Known Member

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    But the current yield is 20.6%, why would you get rid of such a good investment??? :)
     
    c_west, 22nd Apr, 2020
    #6
  7. Trainee

    Trainee Well-Known Member

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    The question is, does it have enough money to keep rolling futures?
     
    Trainee, 22nd Apr, 2020
    #7
  8. luckyP

    luckyP Well-Known Member

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    Use it as TP :)
     
    luckyP, 22nd Apr, 2020
    #8
  9. UncleDrew

    UncleDrew Well-Known Member

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    UncleDrew, 22nd Apr, 2020
    #9
  10. Redwing

    Redwing Well-Known Member

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    upload_2020-4-23_4-32-3.png
     
    Redwing, 23rd Apr, 2020
    #10
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  11. iloveqld

    iloveqld Well-Known Member

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    Where is the real number after that 20.6% according to the recent distributions chart or I missed something?
    upload_2020-4-23_9-5-53.png
     
    iloveqld, 23rd Apr, 2020
    #11
  12. UncleDrew

    UncleDrew Well-Known Member

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    Sounds like he was making a joke
     
    UncleDrew, 23rd Apr, 2020
    #12
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  13. SatayKing

    SatayKing Well-Known Member

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    Probably the sum of year's distributions over current share price as is usually done to determine yield.
     
    SatayKing, 23rd Apr, 2020
    #13
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  14. Frosty123

    Frosty123 Well-Known Member

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    Anyone here buying OOO?
    Oil prices are surely due to rise over the next 12 months....
     
    Frosty123, 30th Apr, 2020
    #14
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  15. Gockie

    Gockie Life is good ☺️ Premium Member

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    Not for the faint hearted
     
    Gockie, 30th Apr, 2020
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  16. Trainee

    Trainee Well-Known Member

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    Whats it even invested in now? Physical oil in a tanker? Front future? Further dated futures? How far out? When does it roll futures?
     
    Trainee, 30th Apr, 2020
    #16
  17. melbourne171

    melbourne171 Well-Known Member

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    How to expose to physical oil if not buy OOO?
     
    melbourne171, 30th Apr, 2020
    #17
  18. Empire

    Empire Well-Known Member

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    I think they're all buying further future dates now.
     
    Empire, 30th Apr, 2020
    #18
  19. SatayKing

    SatayKing Well-Known Member

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    A roll of toilet paper is probably worth more than a tanker full of oil.

    So ditch oil and invest in TP is my red hot tip. TP futures (hedged) rule OK?
     
    SatayKing, 1st May, 2020
    #19
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  20. devank

    devank Well-Known Member

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    I did buy OOO at $2.6 few days ago along with CBA. It was about 5% of my total portfolio. So, it isn't a huge amount, but still a decent chunk.
     
    devank, 1st May, 2020
    #20
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