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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: ChanceIs who wrote (84127)	5/6/2007 9:44:50 AM
From: Wyätt Gwyön	Read Replies (2) \| Respond to of 206326

I makes so much sense to ban cash covered puts do you ever do covered calls? a cashed covered put is functionally the same as a buy-write. it is no more "dangerous" than a covered call and frequently easier and cheaper to put on and take off. if you think cash covered puts should be banned, you should also believe covered calls should be banned. if you don't believe me, look it up. any decent option book will explain that these two strategies are functionally equivalent. it was idiotic that borkers allowed covered calls in IRAs but not cash covered puts. at one point, i was able to sell puts in a Cybertrader IRA, a wholly owned subsidiary of Schwab, even though Schwab wouldn't let you sell them in Schwab IRAs. eventually most of them came to see the light and allow them now in IRAs. Schwab of course and Fido also. the reason put selling got a bad reputation was because of margin put selling during the 87 cr*sh--that bankrupted a lot of people.