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

To: Knighty Tin who wrote (68865)	10/9/1999 3:29:00 PM
From: Terry Maloney	Read Replies (1) \| Respond to of 132070

Regarding the buying of puts rather than selling short ... do you favour buying them in, out of, or at the money? I'm relatively new at this, and intrigued by the fact that deep in the money puts involve very little premium ... otoh, the amount of capital that one puts at risk is far greater, so this seems in fact fairly similar to selling short. Conversely, at or out of the money options hold the risk of the underlying stock not moving sufficiently to offset the premium paid ... is there a happy medium? At the money? :-) This is a great thread, btw -- regards to all who make it so interesting and worthwhile. Terry