Ascend Communications (ASND) Message Board

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Technology Stocks : Ascend Communications (ASND)

ASND 212.29

-2.2%

Nov 19 3:59 PM EST

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To: Greg h2o who wrote (37474)	3/4/1998 9:30:00 AM
From: Glenn D. Rudolph	Read Replies (1) of 61433

You are wrong on this. You have completely UNLIMITED exposure in selling a naked put. Think about it. You don't have the underlying security to protect you. The stock price can go up infinately....One of the reasons brokerage houses discourage selling naked puts is because the risk is SO enormous. Writing a covered call gives you mininal risk and you can enhance your return through income. Greg, We are talking about writing naked puts not naked calls. Sheesh LOL. Are we cleared up on this now? Glenn PS So frustrating for us both LOL:-)

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