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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: J. P. who wrote (31649)	11/4/1999 8:45:00 PM
From: John F. Dowd	Respond to of 74651

J.P. Puts make a lot of sense as insurance. If the stock takes a dump the 90 put holder loses nothing but the premium (in fact could make money on the puts) and doesn't have to take the tax bite incurred in selling the underlying stock especially if they feel that the stock will rebound after the initial shock. Much easier to cover the put than take the huge tax bite on a low cost basis share of MSFT or miss the the rapid up draft if the ruling is perceived as non-problematic. JFD