Hi Guys, Can anyone please inform me as to what the acceptable tracking variance percentage for the New Gold ETF. By My Calculations as at 08:09 Rand Value R7.94 to the USD 1 ETF Unit / Share = 1/100th of an OZ Gold Spot = +- 1652 USD Thus: 1652 * 7.94 = +- R13'116 = R131.16 open price assumeing a 100% tracking. Now I know that this is not possible, but what is an acceptable percentage tracking?. If we take last nights close of R127 than the error would be 3.27%. is this acceptable. Any comments from the guru's would be greatly appreciated.
I am well aware - and he too has a spread - but more often than not - the market maker is "asleep"; AND traders will move below the ruling price to drive a trade through. Actually the GLD is not too bad - but the instalments - NED's in particular are a shocker - the market maker behaves like a civil servant.
- Simon -I have noticed the market maker for SBAS1 is inclined to soften it's offer price during the day, even while the silver price is moving up. Another thing, why is there no trading allowed at 4.50pm when final closing bids are in ?
I don;t watch it, but remember they price off futures not spot .. orders after 4.50pm, they should be placable ?? Issue is no market maker after 4.50, but that should prevent one from trading (well you can;t do @market after 4.50, but limit be fine?).