As far as I can tell no thread on SPACS. Is it just me or are these pretty low risk things to get into. Start off trading around NAV and if no deal made, then funds are returned less costs incurred during SPAC acquisition period. I have made a killing on some of these things. Current plays are CLII...no target announced but have Climate Change in name and CEO has ties to Biden so buying at $10.30 was no brainer for an easy 30% in two weeks. CCIV rumored to be in talks with Lucid so I bought around $13 Monday when I heard that....heading to $19 after hours tonight.

no

I also bought CCIV and it’s my first time in one of these. Curious if anyone can explain risk of further downside below the original price. The cciv did seem like too good of a risk to reward to pass up and up about 30% so far. Seems like if rumors are false, this goes back to $10-12 pretty quick. If confirmed, I’ll be trying to get out over $30 for just over 100% gains.

- The further from $10 you buy in the better the reason you should have to jump in because your risk goes up accordingly.

- SPAC price is easier to manipulate than the merged company.

- Post-Merger - insiders with lots of shares can sell but check the lock-up terms. Plus potential additional shares if certain share price hit. Also some of the SPAC funds go to pay off some of the current share holders who don't want to hold.

Buying SPACs at NAV, holding the run up until merger, and then selling seems decent for a trading strat.

One thing to consider is opportunity cost. Sometimes these things go nowhere even after 2yrs.

So is there any harm is leaving cash you would normally have on the sidelines in some of these?

If you can get in for $10 and it's liquid enough to get out when you want I guess not.

I think these two points are pretty accurate. I'm starting to think that first trade is getting overcrowded especially with how many new SPACs are sprouting up all the time. Eventually the pumps will get smaller and smaller as everybody tries to be the first to sell.

Deals can fall through and waste opportunity cost for months. Or target companies can end up being different than the rumored one, which cause the stock to crash when reality doesn't meet expectations.

That's just my read on the situation. I own a few but I view them as very speculative short term gambles unless you absolutely love the target company.

Splashing around in SPACs for the first time for fun over the last month.

CCIV, BTWN, VSPR are my 3 largest positions. Will be building some combo of PDAC, SNPR, SOAC, FTOC, CLII in Jan.

Lotta fun watching them move, definitely seems like a good play to park cash near NAV while seeking better buying opportunities rather than alternative options.

My Basic strat is buying a pre LOI targeting a sector I may want to hold long term (Green Energy, EV, Fintech) under 11. Selling at 13+ on no news, and buying dips under 12, rinse repeat. Once a LOI/DA is in place I either exit for good, or average in up or down if its a target I like. Not holding through merger unless I fall in love with the target. Been in and out of BTWN a few times.

Seems like free money right now, but that could change quickly if more money starts playing or the quality of targets drop. Ride the wave.

Planning to hold at least 25% of my CCIV forever if the rumor comes through.

My Boomer Dad is making large SPAC plays.

these days buying new issue spacs is a bit of a no brainer. In my fund we are buying a few from the banks at $10 and selling them a week later for 10% gains. Gotta exploit what the market is giving you.

As a retail investor, can’t get into interesting ones anymore near $10. It was free money for the past six months. You could get into chamaths early spacs from 10-12 for months.. his last two jumped 60-110% in seconds. They are becoming increasingly risky as the space is crowded. I just stopped trading spacs for this very reason.

^ what SCQ said

i'm in the ones i think are good 10 year holds, i'm sure there was a ton of opportunity scouring the pre-announcement ones for the 10% effective arb (and the warrants plays are also ez) but theres a ton of dumb money floating around and it's already feeling overheated.

I've made alot through SPACS so far. Take pumps,.. and be patience and sell news.

Thoughts on BFT specifically? It appears to be a big bet on PaySafe and Bill Foley (owner of Las Vegas Golden Knights). Seems like he has the golden touch, pardon the pun.

Is anyone able to confirm what the CCIV valuation would be on LUCID if the merger goes through? Based on info I can find it seems like over 30b already?

SPACs on sale like everything else this week, lots of nice buying opportunities if you have some cash on the sidelines (I never do lol). GIK under 15, NPA 13.5, AACQ 10.6, FUSE 11.4, HCICU 11.1

I'm heaviest CCIV, IPOE, BTNB, CRHC

I like EXPC as a spec play. ARK has been buying and it's the kind of thing that will sound cool to robinhooders (should we still even use that term? lol) when it IPOs as BLDE. Anyone else in it?

ATAC also has my attention just because I saw there was a $67M dark pool block on it on Thurs, albeit after the price initially spiked up big in response, it has since plummeted.

CCIV I see august puts for $20 where the break even is like $11.50, also a lot of lower options the break even is around $11 or so and there is people buying them. For anyone selling options, seems pretty easy money even if it goes back to $10, you are only goes to lose like 8% on your cost basis. I guess it’s opportunity cost, but seems like all these puts are a good deal right now if you can tie up the cash.

free $?

Yes, if your name is Palihapitiya.

yea someone needs to pull a tonya harding and slow this guy down

This is all correct. Your main risk if you buy in at NAV and get the warrants is the opportunity cost of dead money, and the minimal expenses where in most SPACs iirc you would get a tiny bit less than $10 back possibly.

CCIV confirmation must be coming. Up 10% and another 12% in after hours today on no news. Up 100% on this one, definitely holding to let it play out

It's my biggest gambley position. LFG!

I thought this was a good call Snowie. Wanting to augment position without paying fomo prices. Recently began dabbling in selling Puts

CCIV mooning, trimmed 1% of my position at 33. Bought HCICU, NGAC, and AACQ

CCIV printing today. My idiotic $35c's might cash. C'mon and announce it