Stockchase Opinions

Stockchase Insights Hut 8 Mining Corp. HUT-T RISKY Jan 05, 2022

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Recently added to the TSX index. A Canadian bitcoin mining company. They have strong revenue growth, low debt levels and good profitability. Valuation is good. There is risk but the company should continue to perform well in the future. Unlock Premium - Try 5i Free

$9.230

Stock price when the opinion was issued

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TOP PICK
Essentially an ETF that basically owns the TSX or the S&P 500. (Have a US version as well.) Will typically Buy Puts to protect the downside or will do a Covered Call. If the market crashes because of a Black Swan event, this will probably go up in value.
COMMENT
Black Swan ETF. Overlaying TSX with Put strategy to provide downside protection. Fee is relatively high. Puts erode the gains. He prefers selling options, rather than buying Puts.
DON'T BUY
Spread structure used to protect against sudden downward moves? Every year it will lose money because they are always buying “out of the money” put options. This company has some track record but it is worth while watching a little bit longer. The fees on this are incredible and there is also a performance fee.