Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Wind River going up, up, up! -- Ignore unavailable to you. Want to Upgrade?

To: carolyn walder who wrote (9294)	3/5/2001 12:56:23 PM
From: Don Lloyd	Read Replies (1) \| Respond to of 10309

carolyn- ...My question regarding the Mar30 puts is whether the market makers sold them to the small investors or whether they bought them from the small investors...the $64,000 question.... the latter would have me concerned... The purpose of a market maker is to make a market. In doing this, he will in general potentially be on both the buy and sell sides of every contract. He makes his money by attempting to buy low and sell high, and hedging his overall exposure by long or short stock or other methods. To make his living, even knowing the name of the company behind a stock symbol can easily be as much of a distraction as an advantage. The fact that a market maker bought puts is simply a part of his job. It is NOT something to be worried about. If he were able to use some special knowledge to buy puts to make money, he would be able to make more money as a pure speculator, not as a market maker. Regards, Don