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To: Doug Robinson who wrote (89545)	3/21/2000 7:53:00 PM
From: kendall harmon	Read Replies (3) \| Respond to of 120523

Doug, the problem with measures that increase the minimum is that there is a sense among those who do this that this will REALLY SOLVE the problem. Aside from the questionable presupposition that a government limit to anything will NECESSARILY solve a given problem, there is the simple fact that in this instance it will not. Your post is exhibit A "I talked with several brokers in the past few days and lot's of the small tech players were getting margin calls. Most of them didn't have the cash to cover and were forced to sell their limited positions, just to meet the call." Yes. A lot of the focus is on the brokers involved in this "game" and the limits they use. But what about the traders who seek to be involved in this enterprise and their own training? Many people on SI have never interacted much in a real time environment with newer traders. As someone who has, let me tell you, the experience level of many people out there and their knowlegde and training is simply too low to undertake these kinds of trades and risks. A higher minimum MAY help in some instances, but it WILL NOT solve the deeper problem of too many overconfident, less experienced traders. These traders will still be able to meet the requirements set in a number of instances, and then they will still lose money, though in some cases with less speed. As a final aside, it is particularly sad to hear the Federal Reserve chairman's alleged concern about the wealth effect without a concomitant concern about the wealth removal effect. There are margin call horror stories and MSTR type debacle stories out there regularly, and this is NOT helping the economy. I am still waiting to see documentation that shows that all these things as a whole have the impact on the economy which Mr. Greenspan is apparently concerned about. Just because the dot.com millionaires make the covers of magazines does not mean that gentleman like the one who speaks of suicide on the MSTR board do not exist--it is just they are less likely to be noticed.

To: Doug Robinson who wrote (89545)	3/22/2000 2:48:00 AM
From: Susan G	Read Replies (1) \| Respond to of 120523

I too am all for raising margin minimums - but possibly with a warning first so people can get out of their positions long before it takes effect. I've never used margin because I don't trust myself that much - (I'm not that good yet!) but would have LOVED to have it on a day like today. But more than likely, I would have used it yesterday or last week and gotten into trouble. It's a hell of a lot easier to deal with losing your own paper profits or capital - but someone elses??? Yikes. The yahoo post on the MSTR board been haunting me since I read it last night. This wouldn't have happened if requirements were tougher - especially for inexperienced traders. That post made my little losses look like absolutely nothing. The online brokers offer margin way to easily. AB Watley gives it to you even if you don't request it. The brokers are at fault, they practically push it on you and we all know why!