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Technology Stocks : Gemstar Intl (GMST) -- Ignore unavailable to you. Want to Upgrade?

To: capt rocky 1 who wrote (3553)	8/8/2000 12:04:14 PM
From: Uncle Frank	Read Replies (2) \| Respond to of 6516

* OT * You raise some interesting points, Captain, particularly since investments are my only source of income since I cut my ties with Corporate America. The key for a tax adverse, ltb&h practitioner is to find a way to harvest some fruit without killing the tree that produces it. There are several ways to do that without interrupting the compounding phenomena too much: You can gain a very sizeable income stream by writing OTM covered calls against your core positions during certain periods of the year. I'd avoid earnings announcement months and the high momentum months of October through January. Selling up to 25% of a position immediately before or immediately after a split, when valuations tend to peak, leaves you with more shares than pre-split and a pocket full of cash. Employing LEAPS Replacement Therapy on a holding that has had large appreciation allows you to harvest 60% of the position while retaining most of its earnings power for the ensuing few years. >> when you buy fear sets in and when you finally get a good stock the urge to take profits is almost overwhelming. Many of the keys to successful investing are counter intuitive. Borrowing Lynch's analogy, you've got to resist the urge to pick your roses while you water your weeds <gg>. uf