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To: valueminded who wrote (34641)	6/9/1998 1:02:00 PM
From: ratan lal	Respond to of 53903

Chris I have unlimited risk from the put not the stock - and in order to do that I have to apply for the margin level which allows naked puts. YOur risk is strike price of the stock (not unlimited)in case the stock goes to zero. But brokers do need to protect themselves so their requiremetn for margin agreement is reasonable. It contains all kinds of wording stating that you understand there is unlimited risk, you are experienced etc. etc If you want the facility, sign the agreement. ratan

To: valueminded who wrote (34641)	6/9/1998 10:33:00 PM
From: Knighty Tin	Read Replies (1) \| Respond to of 53903

Chris, You should not have that sort of argument with anyone licensed to deal in stock options. I wonder who he got to take the test for him? <G> Seriously, I have had this problem through my investing career. I remember one guy from the State of California who looked at me like a crook and told me, "young man (I was 22 years younger then), I have invested for many years. And no matter how you try to confuse the issue with your jargon, I know that any time you sell something short, you have unlimited risk." When I tried to show him, again, that shorting a put had a risk limited to the stock going to zero, he wasn't interested. He had his story and he was sticking to it. It didn't matter that he was totally wrong. <G> MB