Friday, August 8, 2008

DTO Out.

Sold DTO today. 15% in a week is good. I'm pretty sure that long term oil is still going down, but current events carry too much risk. Russia vs Georgia, strange attack on pipeline which is actually going through Georgia. And, yes, pigs get slaughtered. And yes, going into weekend with this position was scary.

Events in Russia confirm my worst suspicions. Russia is not a place for your money. It's not a place for anyone's money. KGB goons running the country will take your money away sooner or later. Most probably sooner. Actually, I'm thinking of shorting Russia some way. VIP might be a good choice and it has options traded. Or one of the ETFs or CEFs: TRF, RNE, CEE. No options, but their 3 months charts look real great: you can sled on that downslope.

Full disclosure: at the time of publication author had no positions in any stocks mentioned. Positions can change any time.

Disclaimer: This article is not intended as an investment advice. Every person should make her/his own investment decisions based on all available information and advice from her/his own financial advisor.


Anonymous said...

I think it's better short you as you are telling rubbish about Russia. I understand you've never been here and you don't understand many many things on this country...and (in general) you are thinking as a short-term investor.I'd be glad to introduce you to some people who earned much better returns on their investments in Russia than you(and your colleagues) earned investing in USA (or in developed markets).

Muddling Investor said...

Huh? I was born and lived there for almost 40 years. I know what I'm talking about. Yes, some people played Russian Roulette and won. Some lost, American investors lost 14 billion on Yukos confiscation. Way too risky.
You can't short me, sorry. I'm not traded publicly. But, hell, I report all my trades here, you can play against me at will...