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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?


To: bob s who wrote (67445)9/9/1999 6:37:00 PM
From: Knighty Tin  Read Replies (2) | Respond to of 132070
 
Bob, I think stocks like GE and AXP will certainly not move down as far (or even disappear) like some of the IIX stocks. But the key is the amount of downside vs. the premium levels. The DJX are so much cheaper that I am more willing to give up the end of the world scenario possible with the IIX. Basically, what I am saying is, if you get a market where the Dow crashes 50% and the IIX crashes 85%, but your Dow put cost 1/3 of what you IIX put cost, you will make more money with the boring 30. Also, since the Dow has so many cyclical stocks, it may crack first.