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Short SPYders or the SP 500 futures?

Posted: Wed Oct 19, 2005 9:32 am
by billpritjr
Which to short? Why?

SPYders or the mini SP 500 futures contract?

(assuming we are seeing the beginning of a new bear market)

$50,000 cash account.

Posted: Wed Oct 19, 2005 1:35 pm
by blueberrycake
If you pay US taxes, the tax treatment of futures is considerably more favorable, unless you plan to hold long enough to qualify for long term capital gains.

-bbc

Posted: Mon Oct 24, 2005 7:55 am
by Kiwi
The only reason I could think of to use SPY rather than ES would be if your account was too small to do what you wanted. 50k might be a bit light if this is EOD with big stops. ES is liquid, has good tax treatment and good leverage. SPY is little and can be traded in a stocks only account.

You could use a mix of both also to achieve perfect position sizing.

Posted: Mon May 22, 2006 12:31 am
by BARLI
billpritjr, I am wondering if you're still holding your short position? :roll:

Posted: Wed May 24, 2006 1:01 am
by billpritjr
I never went short. The market did not (at that time, 2005) look like it was tanking.

It does now however and might short E-Mini Nasdaqs.