“Two of the most popular instruments for making levered bets on oil prices w[ill] be delisted on December 9. Credit Suisse has announced that it will be discontinuing its Velocity Shares 3X Long Crude ETN linked to the S&P GSCI Crude Oil Index Excess Return (NYSE: UWTI) and Velocity Shares 3X Inverse Crude ETN linked to the S&P GSCI Crude Oil Index Excess Return (NYSE: DWTI).”
I could not be more pleased.
For some God unknown reason, new retail traders are drawn towards these instruments like a moth to a flame, thinking that they will ‘catch that explosive pop’ higher. I have pleaded for years with such new traders, that they should simply read the prospectus on the instrument itself so as to discover the thesis of these instruments was not for some idiotic ‘buy and hold’ method; by which they will catch the ‘pop’ higher.
My warnings went unheaded, much to these retail traders ultimate demise.
I can’t even imagine the number of arbitration requests these instruments produced by greenhorns thinking they had “a case”.
So you will no longer have UWTI and DWTI by which to hang yourselves. Do not worry or be anxious. If you are a newbie trader, you’re probably being saved from yourself …