Introducing the NASDAQ OMX Government Relief Index.
Posted: February 19th, 2009 | Author: Joe | Filed under: Investing | Tags: bailout, Investing | 2 Comments »File under: “huh”?
I’m not sure why, but Nasdaq has released a “New Benchmark Tracks Companies That are Participating in the U.S. Government’s Financial Relief Plan“.
It’s called the “NASDAQ OMX Government Relief Index” and it’s ticker is QGRI. My first thought is, “Why?” I mean, these banks are not likely to be profitable any time soon since the government with have first dibs on any profits they are able to make. On the other hand, the index is up 11% as I write this, so maybe it’s worth a look? Chances are it would still fall under the speculative/momentum type of “play” more than an investment per se.
UPDATE: Maybe I was right and 11% is only a bounce? According to this site, the index was down 36% since its inception! It just goes to show that wall street will make an index out of just about anything these days…
“It just goes to show that wall street will make an index out of just about anything these days…”
You hit the nail on the head! These types of financial instruments are what got us into this economic mess in the first place. Banks decided to get into the “business of Wall St” and bundle up sub-prime mortgages and sell them as a way to increase profits in the speculative markets, the realm of Wall st, not banks. I could go on….but you are correct when you say they will make an index out of anything!!
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