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Strategies & Market Trends : Waiting for the big Kahuna

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To: GROUND ZERO™ who wrote (76789)9/7/2007 2:41:17 PM
From: Real Man  Read Replies (2) of 94695
 
The puts are delta-hedged, of course, which is exactly what
WS perceives as income, since it works 99% of the time.
It does not work (in a spectacular fashion that tends to
wipe out overleveraged put writing income seekers)
when there is lack of liquidity, but they
own the Fed, so they are sure the lack of liquidity will never
arise.
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