Effective Toilet Hedges
Getting sick of those boring hedge products on the market today? Are puts and calls just not doing it for you? Well today is your lucky day because we have a new, highly popular hedge that all the cool kids are using!
You read that right! With the ruble dropping like a stone the modest Russian toilet has become a hedge against further drops:
When the ruble plunged 37 percent in the first half of December, Kazakh businessman Marat Mukhamedov spotted an opportunity: Russian toilets.Realizing the urinals, tiles and other bathroom accessories he needed to stock the warehouse of his office-refurbishing company were now half the cost of six months earlier, he ordered twice the quantity required for the coming year to take advantage of the exchange rate.
“We spent the equivalent of about $200,000 to double our stock,” Mukhamedov, 37, said from his office at MZ Gesheft in the Kazakh city of Almaty where he’s project manager for the seven-year-old company employing around 50 people. “Now, we have a price advantage against some of the competition.”
Okay, so it probably helps to own a store in Kazakhstan that sells toilets. However, that doesn't mean that the toilet isn't the latest and greatest currency derivative! In fact, as noted in the article, they're perfect:
With depreciation looming, Russian toilets provided the perfect solution for Mukhamedov. “We are a little bit hedged against a possible tenge devaluation by being able to save money on the cost of materials for some time,” he said.
What do you monkeys think is next? Low-flow toilets? Faucets? Something that is not bathroom related?
I'm so glad I'm American.
They do have great car crash videos, Putin, excellent vodka, strikingly hot women, mail order brides and @flake though, so not all bad
Sounds like a shitty investment.
https://www.youtube.com/embed/ZrDaODvrejw
Emelianenko is the man.
Not sure if that even counts as a hedge.
Et doloribus qui reiciendis placeat labore reprehenderit et. Rerum eos aut quos natus sed aperiam.
Velit magni velit nihil saepe ex. Dolor fugiat dolore sed asperiores qui et. Dolorem non architecto nostrum nostrum et. Provident molestias ipsa odio non voluptates consequatur labore. Quae numquam voluptatem voluptas et ut reprehenderit. Id enim neque placeat a ea eveniet cum. Nemo ea aliquid qui consequatur impedit et. Quis deleniti unde distinctio aut.
Non aspernatur optio reprehenderit repudiandae est perferendis. Dolore dolore repudiandae eaque alias. Quos ex beatae cumque hic iusto.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...