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To: Fredman who wrote (122)	7/28/1998 12:49:00 PM
From: Early Out	Read Replies (1) \| Respond to of 253

shorting - kinda like gambling - 'Craps'. I am told if you really understand it, you can make a lot of money at it The analogy comparing shorting stocks to playing craps refers specifically to one part of craps, that is the "Don't Pass" line. While everyone else at the table wants "good" rolls to happen and the number to be hit before "crapping-out" the person who has money on the "don't pass" line (known as a "wrong" bettor) is hoping that craps is rolled and everyone loses. Since nearly everyone else is rooting for a positive outcome, and the "wrong" bettor is hoping for a bust, they are looked upon with great disdain. In fact, if anyone makes such a bet during a long winning roll streak they will possibly suffer physical damage, depending on the amount of free booze that has been consumed by the participants. Shorting is much safer because you can do it in private, providing you are not spouting off on SI! -jsc

To: Fredman who wrote (122)	7/29/1998 6:00:00 PM
From: Mama Bear	Read Replies (2) \| Respond to of 253

Fred, I totally disagree that shorting is like gambling. I agree that one shouldn't touch it without a thorough understanding, but one shouldn't go long without the same understanding. One can gamble going long just as you seem to perceive short selling. A few well selected shorts does wonders for the overall beta of one's portfolio. Not all stocks are in an uptrend, and many companies are destined for the scrap heap of history. I wouldn't dream of having a portfolio without at least 10% worth of the equity for shorting, just like I wouldn't dream of not having foreign holdings or bonds. Barb