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To: Dan Duchardt who wrote (11273)	6/5/2004 4:23:58 PM
From: Ira Player	Read Replies (2) \| Respond to of 12617

Dan, I don't think it's an issue of risk. It's an issue of defining a "cash" account as not using credit and a "margin" account as allowed to use credit. Use of credit introduces the concept of collateral. The "promise" of cash coming in within 3 days as payment for stock sold is 100% collateral for a loan against it. Therefore, is not counted against the other assets in the account in calculating margin. A cash account cannot use collateral to borrow, simply because by definition, it can't borrow. Ira Note: I'm an Engineer, not an Accountant...just my view on things...

To: Dan Duchardt who wrote (11273)	6/5/2004 5:06:39 PM
From: TheStockStalker	Read Replies (1) \| Respond to of 12617

Hey Dan how is it going? Your attention to detail and painstaking analysis never cease to amaze me. Though I suspect it gets in the way of your trading sometimes!!! As for you read on this topic. I think you are 100% correct and have a clear read on it. Your right about the compliance officers being in the dark on much of it though. I experienced the same thing through many fims I had worked at, both as a firm trader and as a retail trader, and saw the gap first hand. You would make a great compliance officer by the way and probably a good financial lawyer since the analysis you do is just for fun and you do so well already.... Oz