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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (11660)	4/10/2004 4:07:31 PM
From: Wyätt Gwyön	Respond to of 110194

i will NEVER get a margin call on long futures backed by 100% cash. also, as i explained to you, it is seemingly IMPOSSIBLE to buy the calls in the first place! it is just like stocks as far as i am concerned. options are always riskier than unmargined equity, for the same dollar amount. if you have the attitude that calls are less risky than unmargined futures, then you must also have the attitude that calls are less risky than unmargined stock. options are a wasting asset; stock isn't. AND, when the underlying is totally illiquid, the call is fuggedaboutit. With futures on a drawwown from 37 to 25 the long contracts are in backwardation. i paid well below $28 for the 09's.