Just last week our Miley Cyrus Downfall Futures ("MCDF") contracts spiked to record levels on the release of some racy photos of the Disney Star. Well, it seems the teen icon has wasted no time in outdoing herself, as today saw the release of pics from a Vanity Fair photo shoot, depicting the topless icon, covered only by a small blanket.
As expected, trading in all maturities of MCDF shot through the roof, with the longest-dated maturity, November, 2010 reacing the $1.00 level, implying a 100% chance of 'default' by her 18th Birthday. Perhaps more interesting though, our market makers have noticed that even the short-dated maturities, as close as November, 2008 are trading at $0.96, as it appears speculators have lost all faith in Miley to avoid the same fate seen by other lolita stars such as Britney Spears, Paris Hilton and Lindsey Lohan.
Our pretend Proprietary Research ("p-PR") desk suggests those who are long the contracts stay that way, however, for the more bold traders out there could have an opportunity (albeit a miniscule one) to make windfall profits with a short trade. We see this contrarian strategy being EXTREMELY risky, as all available data indicate MCDF contracts will reach default status long before the terminal maturity.
Reminder, from your summary prospectus, the following will constitute a Downfall, or Default Event:
- Drug/alcohol use (abuse)
- Sex scandal of any sort
- Caught hanging out in public with any of the following:
- Paris Hilton
- Brandon Davis
- Lindsay Lohan (immediate downfall trigger)
- Stint in rehab/counseling
- Sudden drastic changes in behavior (e.g. Britney Spears)
- Other, similar things, see prospectus for details.
Disclosure: Anal_yst is long and strong MCDF contracts. 1-2 is doing his best to make this happen in a timely matter for our Investors. Consult your Financial Advisor.