How does this compare/differ to the GBTC premium we saw last cycle? Obviously some differences between form and function but could an unwind behave similarly?
Discussion
They are not similar at all imo
$GBTC is a closed end fund (NOT included in market cap weighted index funds)
$MSTR is not a closed end fund (IS included in index funds such as VTI, VXF, VB, VO, VUG,VBK, IWR, and eventually QQQ and SPY)
Passive buy side volume eating $MSTR at ANY price
That’s fair. I need to review what occurred to GBTC and see if there are any meaningful parallels. My left-curve brain just hears “premium to NAV” and has flashbacks to 2021.