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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?


To: Tim McCormick who wrote (32530)9/11/1998 12:21:00 PM
From: Knighty Tin  Read Replies (2) | Respond to of 132070
 
Tim, Yes, I play the ratio often with futures in my income portfolio. Though the contracts are over $100,000 in base value, when you buy one and short the other, the margin is minimal, as is the risk. Especially since both contracts are on the Board of Trade.

Also, when I think munis are slim relative to Treasuries, I sometimes buy insured munis and sell T-Bond calls against them. This technique requires a bullish outlook on rates, and I don't have that right now, so I haven't been using it lately.

MB