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

To: Ed Beers who wrote (38715)12/9/1998 10:13:00 AM
From: Knighty Tin  Respond to of 132070
 
Ed, Nope, it isn't that great for sellers. You can be exercised on a short call or short put, but the settlement is cash, not securities. There is obviously no SOX security. That takes away the strategem of turning a short call into short stock or a short put into long stock.

In point of fact, those strategies are rarely used. But the fact they can be used keeps market makers and specialists a bit more in line than with indices, IMHO.

MB


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