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Technology Stocks : Wind River going up, up, up!

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To: mac who wrote (2093)9/21/1997 10:59:00 AM
From: Mark Brophy   of 10309
 
Re: Shorting against the box

The term refers to shorting stock you already own. The new tax law changes the treatment of the maneuver as a taxable event for people who already own the stock. However, convertible bond holders don't actually own the stock until they exercise their option. So, they can short the stock without fear of a short squeeze or a big tax bill.
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