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Technology Stocks : REFERENCE

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To: C.K. Houston who wrote ()11/17/1997 3:22:00 PM
From: C.K. Houston  Read Replies (1) of 411
 
MARGIN: ANOTHER REASON IT'S IMPORTANT
It is difficult for the Brokerage house analysts to recommend a security that is not marginable. It is not in their interests to do that. In two weeks it will be in their interest to promote this stock. Notice a quote from an email that I received from an MM:

"Since brokerage firms make a majority of their revenue from margin interest, they will not recommend any stock that is not marginable. Do not look for any buy opinions until that happens.
Now you will also see more shorting by the public, because they can now short using margin."

Jack Zahran Nov 17 1997 Reply #6157
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