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Non-Tech : Tyco International Limited (TYC)

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To: Tom K. who wrote (1124)12/20/1999 10:47:00 AM
From: fellowfool  Read Replies (1) of 3770
 
Tom K., I do ITM puts when I really like the company and don't mind owning it. In this case I already own it and do not have the cash available to buy more right now. I originally sold OTM DEC42.5 puts when TYC was at 44. Rolling down and forward allows me to still retain some profit on the puts position, keeps my cash level even and does not change my margin requirement much from what it was before. I do not worry about whether I am using leverage efficiently, although, I could probably stand to learn about this.
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