Margin Calls - Share The Pain Message Board

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Strategies & Market Trends : Margin Calls - Share The Pain

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To: swisstrader who wrote (9)	11/30/2000 9:19:49 PM
From: daffodil	of 158

swisstrader, I couldn't agree more. The regulators have taken several steps to try to get this point across to investors, especially in this joint statement from the NASD and NYSE: nyse.com as well as in the links I posted earlier. Margin magnifies gains, but also losses. Even more important, margin can be so complex that investors may not understand it themselves and may be given the wrong information by telephone service representatives. Try calling an online firm with a short straddle idea and asking the telephone rep what the requirements are. Does anyone want to estimate the probability of getting a correct answer?

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