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To: Zach E. who wrote (17343)3/14/2000 7:26:00 PM
From: pater tenebrarum  Respond to of 42523
 
well, that's true, basically the risk is the same. who knows what the risk managers at the brokerages are thinking...
in any case, i hear that small investors are now increasingly faced with stricter margin requirements in general.
that could in itself get the margin call ball rolling. yesterday Datek made a host of bubble favorites unmarginable. i believe that the SEC has been urging brokers to do what the Fed refuses to do out of fear that it might be blamed for a market downturn.
nevertheless there can be no doubt that the authorities are getting concerned about the explosion in margin debt.
what a mess.