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Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?

To: broken_cookie who wrote (44054)	5/29/1998 12:01:00 PM
From: Patrick Slevin	Respond to of 58727

That's the general logic. There are all kinds of intricate plays in derivatives but except for periods of trading speculation firms cover themselves on the back door. The baskets don't have to include all the issues, actually. A block of major ones would do. Hedging could also involve options....selling puts for example. Occasionally I hear of synthetic trades that boggle the mind. A friend who is a options specialist at Lehman made something like $370,000 in commissions for the firm on Friday on one deal....some guy had a wacko derivative play on Daimler and hit a major home run.