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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: greg nus who wrote (79039)	11/8/1999 6:49:00 PM
From: greg nus	Read Replies (1) \| Respond to of 1574679

Elmer, I am slightly puzzeled by your investment stratedgy. Please understand I am not knocking how you invest. hereis whats puzzeling. If you sell AMD puts you risk one day owing AMD stock. Should AMD stock blowup as it has from time to time. The put buyers would put the shares to you at the most inoppurtune time. Also if your selling CC covered calls it indicates your an amd stockholder. Both of these conditions seem somewhat inconsistant with your negative posts on AMd and your love of Intel. Help me out here?

To: greg nus who wrote (79039)	11/8/1999 7:54:00 PM
From: Elmer	Read Replies (1) \| Respond to of 1574679

Re: "Elmer, Now that you have challenged my post. I beleive what you say. I have been told by others that certain brokers permit naked in ira's. It may be just as you said open to policy inturpetation, under prudent man rule rather than barred by law. From epxerience most of the large guys won't do it. " My broker is Schwab and at first they told me that it was prohibited by law however upon further nagging they said it was seldom done, at which point I told them I was going to look around and see if another broker would allow it but be advised I would take all my accounts along with the IRA. They discovered it was not prohibited by law after all and I can now write puts against a cash secured basis. That is I can write puts to the extent that I have cash to buy the shares should an assignment occur. The cash is locked for the duration of the option period unless I wish to buy the PUTs back. EP