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Strategies & Market Trends : Options for Newbies -(Help Me Obi-Wan-Kenobe) -- Ignore unavailable to you. Want to Upgrade?

To: Madpinto who wrote (743)	2/26/1998 12:49:00 PM
From: Zach E.	Read Replies (1) \| Respond to of 2241

I consider buying options more conservative than selling them. This is interesting to hear from someone that is "in the know." I assume that you are talking about something like a portfolio in which you keep most (80-90%) of your money in T-Bills and spend the rest on long options? This strategy would certainly be more conservative than covered call writing (limited downside of 5-15% after interest), but putting 100% into long options would be considerably less conservative than covered call writing.