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To: Gerald Walls who wrote (24358)	6/18/1999 1:11:00 PM
From: t2	Respond to of 74651

Gerald, Another words; if the broker "forgets" to exercise options 0.75 or more in the money, it is your loss. If they make a mistake, they don't want to be on the hook. That is why i call in Friday and tell them even though i realize it is "automatic" execution.

To: Gerald Walls who wrote (24358)	6/18/1999 1:31:00 PM
From: taxman	Read Replies (1) \| Respond to of 74651

"Don't depend on it." good advice. how do like the inception of advertising on silicon investor? look in upper right and see spam for a broker. regards

To: Gerald Walls who wrote (24358)	6/18/1999 9:26:00 PM
From: Harry Sharp	Respond to of 74651

>>>> If you look closer I bet you'll see the language says something to the effect that they "may, at our discretion and without any obligation to do so, exercise options that are x/y points" in the money. Don't depend on it. If they don't then you'd have no recourse <<< "You'd have no recourse" - thats exactly why the fine print is there - in case they screw up and drop a trade. House policy is to exercise them if they're 3/4 in the money. If you have a great deal at risk of course you wouldn't want to take any chances and would give specific instructions to exercise. If you are going to worry about all the fine print, in a prospectus for example, then you'd never be in the market in the first place. My point was that Schwab was not all that heroic in automatically exercising those options that were $2 in the money. It's house policy and it almost always happens automatically.