A.I.M. Users Bulletin Board

[lostcowboy]

Hi Conky, I think you should sell, and take your losses. I came across this web page.
http://www.stocktradingtechniques.com/2008/02/08/its-time-to-buy-hguto/
That says HGU.TO (Horizons BetaPro S&P/TSX Global Gold Bull Plus ETF - whew, what a mouthful) is an ETF that leverages gold stocks by over 2:1. That is, for every dollar the gold index go up, HGU.TO goes up over two dollars (of course, if the price of the index goes down HGU.TO goes down twice as fast).

People have tried to do leverage funds before with AIM. I don't think anyone was successful at it. I think the problem is two fold, aim was not designed for the range of stock prices you can see in a 2:1 leverage fund. Also the cost of the funds are high, and taken out daily.

You want to play this fund differently, think of it like playing craps in LV. The next time you think gold is going to go up, place a bet, with money that you can afford to lose. If you win pick up your winnings, don't leave them in the fund.

Take care,
Clifford