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To: Michael Burry who wrote (88)5/21/1998 8:45:00 PM
From: Les H  Respond to of 271
 
If you invest 80% of your portfolio in the S&P 500 and 20% in cash, you can periodically buy index puts as insurance using the 3-3.5% yield on your portfolio. I read somewhere about such a strategy to
buy index leaps as insurance. The cost of the insurance was estimated
to be about 4% per year.