I recently posted a blog about investing in Russian stock market through $RUSL and yes, that was painful. Direxion ended up liquidating so immediately lost 20+%. I took the loss and decided to park my money in $RSX (VanEck Russia ETF).
My reasoning?
- Dirty cheap
- What comes down will (almost all the time) goes back up
- It’s Russia. They can’t be touched. Just like China (when they take over Taiwan next)
- Amazing option premiums
It’s not surprising that so many people are now interested in $RSX. It is the 3rd most popular ticket on WSB and the options premium is insane!
I do have warn you followers though. It might go lower. Significantly lower and this fund might also get liquidated as well. And who know what will happen when the Russian stock market opens and if you can even buy one as many brokerage companies suspended buying or selling Russian stocks and ETF’s.
This would be a classic example of very high risk and high reward situation where you can possibly lose a lot. So before you do anything, please do your own DD.