@stormy_weather @star_alignment_trader High dividend looks like a trap or bait. From UBS those 2x leverage ETNS like $MORL etc and now $REML you thought you can treat them as cash cow to retire but you lost nearly total capital. They treat these ETNs as whores to keep induce rookies and keep abandoning the older the uglier and introduce the newer the younger to repeat the dirty game. The mature date on paper is totally bullshit. I highly doubt anyone can mature as they promised.
@GTRfund I hope not. I held $MORL once, got nailed and swore never again only to get nailed again by CSuisse today as per our earlier thread. Wondering if there’s an ETN that will actually run until the original maturity date!
$REML From time to time TD Ameritrade issue these slightly scary notices. Is this something to be concerned about? I still remember what happened to $MORL.
"The issuer(s) could call the below-listed position(s) prior to maturity, an action also known as an "accelerated redemption," and return the current value of the ETN and/or preferred stock position(s) to you, minus the issuer's fees."
@iNVESTING_PRO I’ve been in $REML for several weeks now. I noticed it didn’t liquidate in the covid crash like $MORL and I anticipate it to only go up as the country recovers. $SPY
$MORL I said it before and I will say it again, UBS is a bunch of Swissholes. Will go stuff some other safety deposit box full of gold. 🤡 country with 🤡 banks.
@Carolina92 @Carolina92 here's a link to March announcement of mandatory redemption for $MORL the notes that were the assets investors in the fund were benefiting from fell in value to 5.00 or less triggering the redemption. During the redemption period the sale of new notes (shares) stops. Then when everything is redeemed, the proceeds are split up and distributed. (more or less)
https://markets.businessinsider.com/news/stocks/ubs-announces-mandatory-redemption-of-etracs-monthly-pay-2xleveraged-mortgage-reit-etn-due-october-16-2042-and-etracs-monthly-pay-2xleveraged-mortgage-reit-etn-series-b-due-october-16-2042-1029003797#
@Carolina92 @Carolina92 you'll have to look at the messages from WeBull and $MORL you received. They may have threatened to delist or stopped trading but the shares and your investment was unaffected (existence, value may have changed) during the halt or delist period. When they became compliant or recovered, then you 'got the money back' -- good to read their website too, its EFT so there's an issuer.
As far as 'worse' idk, we have to wait and see. The 8K filing describes in detail the Existing Equity Interests share of new warrants and link is posted here at the $NE page. Again, know what you own. Learn as you go. DD pays.
@Carolina92 It's completely different story with a business stock and EFT investment in mutual fund that is exchange trades and even more so when that EFT is specifically designed as a 3x hedge overnight investment for investment banks and other funds. I owned $MORL and it tanked before and they remove from the exchange until they regain funding. Its nothing to do with operations of a oil business, no comparison. Its usually more a matter of all outflow and no inflow, not enough interest and everyone cashing out. (for example). With $NE BK outcome for shareholders will depend on structure of refinancing and whether equity for current shareholders is reserved during the restructuring or wiped out or converted to some other percentage of new shares issued. Bondholders are being compensated with stock ownership, exchange of payment on bonds for becoming owners.
