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

To: Broken_Clock who wrote (49470)	3/2/1999 5:56:00 PM
From: Knighty Tin	Respond to of 132070

PK, Long leaps are higher risk because you pay more up front. With regular options, I usually pay in the $1-$5 range. With leaps, you pay in the $5-$25 range. Yes, you can buy fewer and they do last longer. But that much money invested in a wasting asset could make me sell too soon if I perceived risk or take profits too soon. Both reduce homerun potential and make the net net trades over a period of itme likely to be negative. However, that may have more to do with my personality. I like making a smaller bet more times for homerun potential.