A.I.M. Users Bulletin Board

[BowlerBob]

Thanks for the response. Point by point:

1) I bought ERX in a ROTH IRA account so no tax effects.

Aha! That fixes the tax situation. Unfortunately for me, my position in NUGT is in a taxable account.

2) erx is not a commodity like dig and dug would be

Thanks, I didn't know if the Energy Sector qualified.

3) I suppose if there is a 33.33% drop or greater in one day, this could go to zero. Think of the buying opportunity that would be.

As I tried explain about NUGT, the ETF price decline will simply result in a Reverse Split. The issuers seem to like to keep the price in the $20 to $80 range, but they will never let the ETF Price go to $Zero. I think they would "freeze trading" or issue an Intraday Reverse Split in such an "extreme" situation.

5) ERX is volotile enough on its own without leveraging it with LD Aim.

I have never thought of LD-AIM as "adding to the Leverage factor". Could you comment on that aspect?


Regards,

Bob