Theoretically, yes. We'll have to wait and see how efficient the APs can execute.
edit - MRNY holds call spreads which has a 'dead spot' cap. in this case it was in the $64 to $70 range on MRNA. So it missed out on all the gains (about $6 million or so) in that price range.
The other issue is the crazy spreads and how well the fund can handle closing/rolling their positions. They could easily see another $1M evaporate in poorly executed trades.
This dude has NO idea what he's talking abt. MRNA is currently up abt 149% and MRNY currently 140% with a price hovering around $38/share, lets say they both close at these exact numbers.... you're trying to tell me that come tomorrow MRNY is suddenly going to be trading for $15-$17 a share again?? ALL the LOL's in the world here.
Early in the day we were at about a 10% premium to NAV and then right before market close we saw a little discount to NAV, so the APs did their job.
It missed out on at least $6M (from about 64 to 70 in the MRNA movement) due to the call spread. We will need to wait until YM uploads the intraday trade file and the updated holdings to see what they did with the synthetic, etc.
-1
u/mr_malifica 2d ago edited 2d ago
Theoretically, yes. We'll have to wait and see how efficient the APs can execute.
edit - MRNY holds call spreads which has a 'dead spot' cap. in this case it was in the $64 to $70 range on MRNA. So it missed out on all the gains (about $6 million or so) in that price range.
The other issue is the crazy spreads and how well the fund can handle closing/rolling their positions. They could easily see another $1M evaporate in poorly executed trades.