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To: jaytee who wrote (1067)	11/20/1997 4:46:00 PM
From: TFF	Respond to of 12617

jaytee: Margin Explained: savoystocks.com As long as you have excess margin in your account, you may trade it. You do not have to wait until settlement of trades to do so.

To: jaytee who wrote (1067)	11/20/1997 6:06:00 PM
From: steve goldman	Read Replies (1) \| Respond to of 12617

Traditionally, account transfers were a disaster. An incredible tension, the receiving broker wants them in quickly, the delivering wants to slow itup. The nasd and sec has been cracking down.The new ACAT system, (Automated Customer Account Transfer) system gets in done in 3 to 5 days depening on how long the delivering firm sleeps on it. I have still seen it take 2 weeks which is obnoxious but thats how some firms work. Personally, I think taking that long and holding up a transfer is burning bridges. Marginable stocks have a 50% loan value. If you had $10k in cash, you could buy 20k in marginable securities. If you had 20k in fully paid for marginable securities, they have a 50% loan value, you have 10K cash you could take out. If you reinvesting in marginable securities, you can buy 20k in securities (since on this second purchase you only need 50%, the 10k). Thus you would have long market value of 40k (the original 20 fully paid and the second 20 bought) and equity of 20k (the original) which is 50% intial purchase equity. You can buy and sell in a retail account same day and the debits and credits are netted out. If you are a true trader, you could leave it in a money market and it would never sweep out earning you an extra few percent. If you were 100% disciplined in not taking stuff home, you could buy a Tbill with 95% loan value, earn the extra,extra few percent and as long as you were flat, you have 95% Of the tbill to trade, margin free while earning interest. Not a dumb question, just one that gets muddled by the complexities of reg. t. regards, steve Clear or fuzzy? I am no margin guru... regards,