History can (and will) repeat itself. This closed-end fund is getting out of the 20's, but into the teens (and not the 30's).
June 24, 2009
"ONE BOURSE THAT HAS HAD an 'official' bear market appropriately enough is Russia. The RTS index, which is denominated in dollars, fell another 2.9% Tuesday, bringing its decline since June 2 to 21%.
Faring even worse has been the Templeton Russia and East European Fund (ticker: TRF), which was among the egregiously overpriced closed-end funds featured here a couple of weeks ago ("The Closing of the American (Investor) Mind", June 10.)"
I didn't have a true naked short. I was long RSX and short TRF. It's still a good move, and I might even try to do it again starting Tuesday morning.
The 55% Premium will disappear. It's just a matter of time.
I did/can make money even when/if the Russian Market goes up -- all I needed/need is for the Premium to shrink (or even disappear completely, possibly reverting to the Discount that this Closed End Fund eventually has reverted to several times over the last 15 years -- see link to chart).