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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: James F. Hopkins who wrote (3238)	2/16/1998 11:48:00 AM
From: Allen Furlan	Read Replies (2) \| Respond to of 78599

Agree with what you say. I use Brown and Co because their commission minimum is 21 dollars per position and 3 dollar comm for options less than 1 dollar and sliding scale up to 7 dollars comm for options priced greater than 5. Commissions are less for more than 10 contracts and I get rebate of 10 % for over 350 dollars per month in commissions. As a conservative investor(ie hate to lose money) I will rarely write more than 7 options and prefer to spread out positions over both time and stock choice. Diversification is also important and I sell way out of the money naked calls, naked puts on low priced or beaten down stocks with willingness to hold stock(APM,ULTK,TLK,WDC,etc), ratio writes of calls against stock in which I expect recovery, and arbitrage positions (ie MCIC vs WCOM). Since I am retired I can watch all positions very carefully and would not suggest this strategy to anyone without the time to monitor.