tyb
I kept saying I'll go now but had the scope on watching the non-response, air-wise. Not much they can do from above.
It is quite eye-opening.. the disconnect from reality and these people just trash whatever they feel like.
Puts many things in perspective like the LA riots of the 90's-all fomented and assisted like these
SAM759 USAF G5 departed JBA sw
R1778 US Army G5 also JBa departure nw
AF2 VIP C-32A from JBA sw
SAM777 USAF Clipper ne from Peterson AFB, Colorado Springs
VM767 USMC C-560 left MCAS Beaufort, SC ne
got caught in the king riots a little-but smart enough to stay in car and not stop. It all felt wrong-even not having the knowledge we have now about that.
Family member told me all about the watts riots and can recall them being totally skeptical about it all then-smart cookie that one was
welcome
guess I should have had moar cofeveve before posting that-bit of a mess description-wise
USO Oil ETF Faces U.S. Probes Into Risk Disclosures to Investors
A popular exchange traded fund that uses complex derivatives to track oil is being investigated by U.S. regulators over whether its risks were properly disclosed to investors, scrutiny triggered by crude’s historic slump during the coronavirus crisis, said three people familiar with the matter.
The Securities and Exchange Commission and the Commodity Futures Trading Commission have both opened probes into the $4.64 billion United States Oil Fund, which lost 75% of its value in the two months ended April 30, said the people who asked not to be named because the matter is private.
Issues the agencies are examining, the people said, include whether shareholders were adequately informed that the ETF’s value wouldn’t necessarily move in tandem with the spot price of oil and the fund’s recent decision to purchase crude contracts that expire further out in the future. The change in contracts USO was buying deviated from its past investment strategy.
it says it right in the disclosure however no one reads these so its always a "surprise"
The inquiries into the ETF, known by its ticker USO, are in their early stages and may not lead to allegations of wrongdoing. United States Commodity Funds, the company that manages USO, hasn’t been accused of any misconduct by the SEC or CFTC. Senior executives at United States Commodity Funds didn’t respond to multiple requests for comment. Spokesmen for the SEC and CFTC declined to comment.
The investigations are significant because USO has grown to be a dominant player in the market for crude futures. As it got bigger, the ETF attracted legions of mom-and-pop investors who saw it as an easy and simple way to wager on oil. These less sophisticated shareholders are among those who’ve endured heavy losses amid the oil rout, a plunge highlighted by the commodity’s first-ever slide into negative territory on April 20. USO has issued six disclosures to shareholders in the last two months noting changes to the fund’s investment strategy, which it has had to quickly rejigger in response to recent events. In the SEC filings, the ETF has said it’s buying longer-dated futures – contracts that are typically less volatile than those that expire in the succeeding month.
USO buys futures, not physical oil.-in case you did not know. The fund mainly invests in CME Group Inc.’s benchmark West Texas Intermediate contracts. Its WTI holdings became huge in March as oil plunged, a drop triggered by falling demand during the coronavirus pandemic and a price war between Saudi Arabia and Russia. Even before oil fell to minus $37.63 a barrel on April 20, investors who concluded the rout had bottomed out rushed to purchase shares of USO to bet on a rebound. That buying surge contributed to USO amassing a quarter of all outstanding front-month WTI contracts, those which are closest to expiring. Such extreme concentration prompted CME to inform USO in late April that it was placing limits on the fund’s holdings of June, July, August and September contracts.
The fund said in an April 24 SEC filing that investors should expect “continued deviations” between USO’s performance and the WTI benchmark, in part due to the new restrictions. The fund added that it might not be able to meet its objective of reflecting changes in the spot oil price. USO faces issues separate from regulators’ investigations. For instance, its sole broker, RBC Capital Markets LLC, has decided against adding new futures positions that would grow the size of the fund because of risk management concerns, according to a Tuesday SEC filing. In addition, USO has been awaiting SEC approval for more than a month to sell additional shares to investors eager to keep wagering on oil. WTI has rallied more than 75% in May, while USO has risen about 30%. SEC and CFTC officials have been in contact with each other about concerns related to USO, according to one person familiar with the matter. The CFTC also issued a rare public warning last week to retail investors to highlight the “unique risks” of commodity exchange traded products.
“The value of the shares in the commodity pool may not track the value of the underlying asset over time,” the CFTC said in its May 22 statement. “This difference is because unlike with stocks, a futures contract cannot be held indefinitely in hopes that a fallen price will recover.”
https://www.bnnbloomberg.ca/uso-oil-etf-faces-u-s-probes-into-risk-disclosures-to-investors-1.1442889
Anytime you have the SEC and CFTC "co-operating"-after an event has transpired-this should give you pause…especially since they both knew this was a problem when the entire ETF market was created about 15 years ago.
amazing how it was all used and most can't or won't fathom who was really on the strings behind it.
The OJ thing too.
AF2 VIP C-32A on final at Dobbins ARB, GA-nw of Atlanta.
A nice, slow glide slope in with a little weather in the area to the s/sw