Actually, taxman, LEAPS are the only options I have bought, with the exception of certain long term options for stocks that don't offer LEAPS, like GMST and JDSU. But I have been buying QCOM LEAPS, mainly Jan 2002 at strikes from 125 through 200, all of them slightly OTM when I bought. Also have some EMC, CSCO, AOL and TWX LEAPS. Thanks to Uncle Frank who first told me about LEAPS, and to Jill and Poet for starting this thread. LEAPS are a great leverage verhicle for LTH&B types especially with gorilla companies that have a bright future. With a couple of years to let them mature, the risk is fairly low and the reward potential quite high.
Oh, I just remembered, I also bought some near term QCOM puts as a hedge against my LEAPS when I thought QCOM was going to correct. It did, and my hedge payed off well and allowed me to get more LEAPS, but that was a unique situation. |
