Jean-Francois Tardif Pro Shares Ultra Short Mid Cap 400 ETF MZZ-N PAST TOP PICK Apr 07, 2009

ETF double short on mid-cap US stocks. Doesn't think the stock market will do well for the next 2 or 3 years. Thinks mid caps will suffer more because it will be tougher for them to get financing, margin issues and investors will stay away from smaller caps.

Q: Jean-Francois Tardiff had this ETF Short as a Top Pick because of his views on the US economy. What do you think? A: He doesn't see it as a risk/reward. In 2002, he bought this index for some US clients and he still holds it. It is currently around 846 (?) and if it ever shot up to around 1100 (?) he would agree.

Shorting on mid-caps> Gives you twice as much short as the market drops. Likes mid-caps because they have more difficulty in financing themselves.

A way to protect the portfolio to have shorts. mid-caps would get hurt more than a larger company if the bear market continues.