Cramer is directing the same level of energy toward eliminating ultra-short ETFs as he did in demanding the Federal Reserve open the discount window back in August 2007. (You all remember “They know nothing!” right? See bottom video.) Regular Mad Money viewers have heard his calls to the SEC before. He wants the UltraShort Financials ProShares fund shut down because short traders are using it to hammer down financials stocks virtually unchecked.
This is the fund that turns a $1 investment into $3 – an SEC-approved skirting of its own margin rules – putting even more pressure on the banks than the credit crisis has. That, of course, is why the shorts like the SKF so much. They’re kicking the sector when it’s already down, making a hefty profit in process.