Poet & Jill,
Congratulations on kicking off your new thread! It serves a real need, and has the side benefit of keeping the G&K thread focused on fundamentals while reducing its bloat. I wish you best of success with your the thread and your returns on Gorilla and King derivatives.
Now to business. As a conservative Gorilla gamer, I realized that I was slightly overweighted in qcom (>80%), and that I was remiss in not owning one of the most powerful of the enabling Gorillas, Cisco, BUT I didn't want to give up my fabulous returns from the Q. What to do?
The answer was in Harrison Roth's book under the topic, "stock substitution therapy". Last Thursday I converted 500 shares of qcom to 8 yqjat (1/2002 qcom 500 strike price) and 25 wivar (1/2002 csco 90 strike price). Even if delta on the yqjat's is 65%, I will retain my Q earnings power while adding returns from my cisco DIM LEAPS. The best part is that, since all the above was done in a tax sheltered account, the entire rearrangement cost me about $100 <GG>!
Just food for thought.
uf |
