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To: HG who wrote (16940)	1/4/1999 9:00:00 AM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 27307

To: +Mandinga (32030 ) From: +Glenn D. Rudolph Friday, Jan 1 1999 12:16PM ET Reply # of 32400 HG, Boxing is just having an equal number of long and short shares of the same stock in your brokerage account. The long shares are stored in Type 1 which is cash or Type 2 which is margin. The short shares are stored in Type 3 which is the short part of your account. If at anythime you sell some of your long shares, you are net short or if you buy more long shares, you are net long. The advatinge is you do not need to locate shares to short to be short immediatly and you do not need an uptick although that borders on violating an SEC rule. The position you created is technically called short against the box. Most brokeragae houses only reguire 5% of the equity to hold the position since when you are boxed there is no risk of a gain or a loss. Glenn