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To: edamo who wrote (345)	12/29/1999 11:39:00 AM
From: buffalogrif	Read Replies (2) \| Respond to of 8096

edamo..with all due respect, Taxman is 100% correct. You're returns for Dec are stupendous and I am thrilled for you. But don't confuse genius with a bull market. You dismiss the so-called Greeks out of hand as hyperbole and useless because they represent only a moment on the price/time continuum. That's correct, but it misses the point. The Greeks are a tool. They are a tool for measuring risk. Since managing risk keeps you in the game and since you can't manage risk unless you can measure it, it would follow that measuring risk is important. Your response is that since you're prepared to be exercised at expiration, that defines your worst case. But that's not your risk. Your risk in selling naked puts is that the market makes some catastrophic move (like the reverse of Q today. Your risk is that to avoid some dumb ass margin clerk blowing you out of your position, you are forced to deploy your hard earned capital in a losing trade! Why would you buy a stock at 100, if it's trading at 80!! Now to be fair, it sounds like you have (a) the capital and (b) the fortitude to do that. I admire you for that, but why put yourself in that position? If you say that it's a low probability event, I say go back and study 1987. The real shame of that debacle was that hundreds of naked put sellers got taken out of the game and missed the chance to make the easiest money the market has ever given us. That's the risk. I agree with Taxman; high risk, low reward. Grif