Loading ...I LOVE your idea of buying cheap OTM puts on banks. What I may be a little wary of though, is that Buffett helped bail out the banking industry in 2008 (bought $5 billion of preferred in Goldman Sachs and another $5 billion with a strike price of $115- that’s a roughly $560 billion gain on paper as of today’s close). If there is another financial frenzy a la 2008, I would think the government would have Buffett’s back and do almost anything to protect his holdings- almost a 10% stake in WFC. God knows we need to wring the financial inefficiencies out of the towel – so to speak, and get closer back to a ground zero, but who knows when/if that will ever happen…….
No Comments
No comments yet.
RSS feed for comments on this post.
Sorry, the comment form is closed at this time.