Facebook Changing Equity Financing Forever


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


Facebook's

27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


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recent cash infusion from Goldman Sachs (NYSE: GS) is changing the face of equity financing forever.Goldman invested $450 million in the social network, giving a $50 billion valuation. This new transaction, done via a special purpose vehicle, allows the "big boys" and "smart money" to invest in companies much earlier than the IPO process. Companies like SharesPost and SecondMarket have allowed private companies to trade their stock just like they were public, albeit with some restrictions. The issue at hand is of course the retail investor continues to get screwed. Joe Six Pack who sees the future in Facebook can't invest in the company via the SPV that Goldman did, because chances are, he doesn't have enough money with Goldman Sachs to be considered a priority client. The big boys get the real opportunity for big profits, and the little guys are left holding the crumbs at the end.Life goes on, but it never changes. The big boys always win.
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