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To: gdichaz who wrote (46698)	10/31/1999 3:15:00 PM
From: LLCF	Read Replies (5) \| Respond to of 152472

<Thought options were not permitted in IRA accounts but now understand that "writing" calls are permitted in IRA accounts as are LEAPS, is that so?> You can definitely 'covered write' in your IRA... I had a Fidelity rep tell me last week that I could also purchase options outright in that account, and would I like the paperwork! I was very surprised as I've been in the business 20 years and always thought covWrite was all that was allowed. Still don't know if the guy's right or not, but wow, if this is true they'll be lots of folks wiped out in their IRA's IMO. DAK

To: gdichaz who wrote (46698)	10/31/1999 3:49:00 PM
From: Wyätt Gwyön	Read Replies (1) \| Respond to of 152472

Cha2, re: writing calls in IRA--you can write covered calls against owned common only...no spreads or naked writes. As far as I know, treatment of LEAPS is same as other options, LEAPS seems more and more like just a brand name (it is, actually, w/registered trademark); distinguishing features (contrasted with shorter-term options) include greater length of time till expiry, larger bid/ask spreads, larger time premiums, greater conservativeness when buying in the money. Check out Harrison Roth's book on LEAPS for more info (available at Amazon and other moneylosing bookstores). You can buy and sell these in IRA, however, some brokers (like Ed Jones) do not allow any options; hence many people do not know about them. MM