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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: Uncle Frank who wrote (55159)	12/20/1999 10:31:00 AM
From: Voltaire	Respond to of 152472

About time you got your butt back over here. V

To: Uncle Frank who wrote (55159)	12/20/1999 10:58:00 AM
From: codawg	Read Replies (1) \| Respond to of 152472

Actually Frank, I think your post proves MMs point. There is no difference in the Black-Scholes model for "options" vs. "leaps". They're the same thing with leaps converting to options at the arbitrary limit of one year. You just plug in a larger number for t and probably for r if your using leaps. However, your point is well taken that there is less risk in a long term option than a short term one. If I weren't having so much fun holding and rolling up short termers on Q I'd probably be holding leaps myself. I think yours and Voltaire's strategy is a sound one. Not sure why everyone trying to compute returns on Voltaire's method stops calculating at $570 when it is above this number where the strategy pays off. And we all know Q will be well above this level in 13 months <g>. Co