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Microcap & Penny Stocks : Tokyo Joe's Cafe / Anything goes -- Ignore unavailable to you. Want to Upgrade?

To: E who wrote (8484)	4/18/1998 10:34:00 PM
From: EaglePutt	Read Replies (1) \| Respond to of 34592

Witcapitalcom offers IPO...... they have offered some good ones but I think that they can be very risky... Think of those that went in at 70-75 ..man that's tough.. IPO action to emotion driven and unpredictable for me...

To: E who wrote (8484)	4/18/1998 10:51:00 PM
From: Superhawk	Read Replies (2) \| Respond to of 34592

"The first chance at IPO shares go to whatever clients of the brokerage participated in the private placement. If there are some left of a promising IPO after this, the house divides them up among their brokers, who reward their best clients with as many as they can get for them." That's true. I opened an account at Dean Witter recently after trading in an Internet account for quite a while. My main reason was to obtain IPO shares before the open. I selected the most active IPO broker in the local office (some don't do IPO's, I was told), and promised her I'd play by the rules. For example, "flipping" (immediately trading out of an issue if the price at the open gaps up dramatically) is generally discouraged. It ruins the broker's "index", i.e., points accrued on the broker's IPO scorecard. As a broker's index falls, fewer IPO shares come their way. Holding IPO shares for three months does wonders. Another way to help your broker's index is to take secondary shares when offered -- these usually aren't nearly as popular as IPO shares, but build up the broker's leverage when the next hot issue comes up. I've had the account since November 1997. She obtained 200 shares of VeriSign for me (a super hot stock), 100 Steelcase, 200 CuraGen, 50 Broadcom, plus several secondaries which have done surprisingly well. Does it work? For me, yes, on a small scale. Maybe if I had a multi- million dollar account, I'd be pulling down more shares. In the meantime, she has asked for shares of several upcoming Dean Witter IPO's on my behalf. I've been very happy with the results so far.