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Strategies & Market Trends : Convertible Hedge investors?

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To: Cyber Bill who wrote ()4/21/1997 4:16:00 PM
From: Jack Zolty   of 107
 
Cyberbill,
Hi Value Line offers several specialty quotes and recommendations that one has to subscribe to. These might be for example; stock recommendations, options, bonds, or conv.bond and warrants. One can ask for a trial subscription of the conv.bond supplement issue. In it you will find various columns relating the required info we hedges require, ie. Bond premium, conversion ratio, redemption feature, price and underlying stock information.
I found this service to be quite expensive for a years subscription especially since I do not trade that often with this type of investment vehicle. I have found our local public library does subscribe to the full Value Line service. You may want to persuade your public library to do the same.
The beauty I find with this type of investment vehicle is the great leverage and relatively high profit to loss ratio one can achieve. The steady income the bond generates sure helps the bottom line. The short position of the stock is reassuring when the market is correcting itself. One can as you know trade the short position while the market is fluctuating generating even more profits. As you can tell I prefer more volatile bonds for this reason.
I had two full hedge positions this past year Horsham and currently Magna.
best of luck,
Jack
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