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Strategies & Market Trends : Convertible Hedge investors?

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To: Ted S who wrote (40)1/20/1998 6:51:00 PM
From: Scott Mc   of 107
 
Ted,
I believe 15-20% is reasonable with very low risk, with quite a bit of time and effort and focus this can be higher.. Approx 25% of my portolio is in converts of some sort or other, however less than 10% is hedged.

I have done some writing of calls against converts and also write puts on my shorts, however I find that it confuses me and it takes a bit of time and effort to figure out good entry prices etc etc, so I haven't bothered lately.

The bottom line I guess is that market has been so easy to make money the last couple of years, converts can be boring and it takes much more time and effort to select and set up a good hedge candidate that I gotten away from it in the last year or so....
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