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To: Amy J who wrote (123719)12/27/2000 11:47:26 AM
From: denni  Read Replies (1) | Respond to of 186894
 
amy,

i do use margin and so it has served me well the last two years. i put 1/3 of my stocks in that account. i got my first margin call about three weeks ago. i had to sell 8% of my margin account to solve the call. over time i bought back the cien i sold and some new intc shares at 32 1/8. the dot.com dogs i didn't buy back. the second and larger call was last wednesday. this time i sold nothing but had to send in more shares to cover the call. currently the value of my margin account is twice the current value of all of the stocks i have put in. i have never sold any of the stocks i have put in that account to give me the buying power.

i am enjoying the ride, but have been lucky by picking two great performers: cien & rmbs.



To: Amy J who wrote (123719)12/27/2000 4:40:47 PM
From: Saturn V  Read Replies (1) | Respond to of 186894
 
Ref <..I like doing a startup is that I am in complete control of my financial destiny and feel much more secure with this >

I hope that you are not too dependent upon VC or external funding.

A friend was lured from a very senior position at one of the top companies to head up a B-B company. He was promised by top tier VCs like KP and Sequoia, that future funding would be forthcoming as long as certain business milestones were met. All the milestones were met, but now the VCs have reneged on their commitments since the B-B IPO market looks questionable now.

Now my friend is in a world of hurt, because he lost untold millions when he walked away from the options of his old employer.

Anyway I admire your gutsy risk taking attitude. You seem to be taking the right level of risk by being prepared for the possible downside. You have stayed away from margin, and the bloated dot.com stocks. A lot of younger people that I know, got completely wiped out during the last 9 months, because they could not fathom the downside risks.

Regards