SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 78.11+0.1%9:49 AM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: GVTucker who wrote (65492)5/14/2004 12:33:52 PM
From: Lizzie Tudor  Read Replies (1) of 77400
 
there are thousands of contracts on the exchanges whose value is based solely on Black Scholes. You can sell 'em all and make a ton of money.

I know, I used to look at the BS figures when etrade posted them, when I was trading options.

But you'd be a fool to BUY an option now, based on the BS tables on etrade, that you were unable to sell for a year- agree? You might as well throw darts at a board. Where you and I differ- and there is no attempt on either of our parts to compromise I believe- is that I am saying no expense exists until I get cash in my pocket (if I am the option recipient). Just like when I do my tax returns I don't recognize revenue on contracts I was never paid for. But you believe some form of compensation occurred. This is a key difference and my guess is that most in congress are going to see it my way. Charging a company something for a cost never realized doesn't pass the smell test.

I knew that BS was going to destroy the options expensing avalanche. They should have proposed expensing at exercise.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext