Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: HoyaBob who wrote (52966)	7/22/1998 7:41:00 AM
From: Jerry Miller	Read Replies (1) \| Respond to of 176387

"re LEAPS: Couldn't a more cautious investor benefit from DELL LEAPS and thus avoid the inevitable short term volatility?" ...you're absolutely right. and any serious long term investor in this company, cautious, or otherwise, probably wouldn't want to be without Dell LEAP calls. "I'm trying to learn more about this strategy, but I need to either take a course or find a decent primer on LEAPS before I leap." here's the site to start learning about LEAPS, and good luck to you. cboe.com

To: HoyaBob who wrote (52966)	7/22/1998 8:42:00 AM
From: HDC	Read Replies (1) \| Respond to of 176387

HoyaBob, You've found what I view as the financial Holy Grail. LEAPS are a great way to leverage the long term price appreciation of Dell. I buy "in the money" LEAPS where 1/2 to 2/3 of the price is "in the money". This is where the risk/reward level is confortable for me. You will need to assess your situation regarding risk/reward, expiration time, etc. Since the Dell run up from $85 to $117 in the last month, my Dell stock has appreciated 38%. My Dell LEAPS have appreciated 100%. Of course, your leverage "or gearing" works against you when the stock price is falling. This is the risk of any option. You might want to read a book by Harrison Roth titled "LEAPS". It will explain the value and benefit of the longer term perspective which LEAPS provide. Duncan