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Politics : High Tolerance Plasticity -- Ignore unavailable to you. Want to Upgrade?

To: The Ox who wrote (4794)	5/21/2001 1:11:56 PM
From: CpsOmis	Read Replies (3) \| Respond to of 23153

Question to the board: I have not been as sophisticated in my trading as many of you, so I have not "shorted" or written covered calls, etc. However, it seems to my feeble mind like I may be able to do something to capture some of the arbitrage spread in SMOP/PEX, given that I own tons of SMOP. What if I were to sell PEX short today, at today's price, and then cover my short with the PEX shares that I get in the merger? Wouldn't that lock in today's arbitrage spread? And, since I am guaranteed a specific quantity of PEX, doesn't that insulate me from price swings in PEX, up OR down? Of course, now that I think of it, if they pro-rate the number of shares of PEX I get (rather than what I elect to get, I could end up losing the spread for each share I don't receive, won't I?) Any more sophisticated investors out there want to help me think this one through? Regards, Cosmo