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To: Janice Shell who wrote (174)6/30/1998 5:44:00 PM
From: Henry Volquardsen  Respond to of 390
 
Off topic, I suppose: I'm surprised that you say that you never short. Do you mean you never short in the classic sense, or that you never even buy puts? As a market maker, I'd think that playing either side of potential trades would seem to you a normal thing...

When I say I never short I am talking about my personal equity portfolio. I make markets in currencies and interest rate derivatives. In those markets I short all the time. As far as my personal portfolio there are two reasons I don't short. The first is I am a partner in my firm and subject to fairly rigid compliance rules. I must hold all investments at least three months. Second, my major focus is on the markets I trade for the company. I can't devote minute by minute attention to my investments. The combination has put me in a position, for my own account, of not being an active trader. Therefore I tend to look for investments I can buy and hold.

Henry