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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: freeus who wrote (112580)	3/26/1999 10:26:00 AM
From: lebo	Respond to of 176387

Dell is going to lead the tech sector up yet again

To: freeus who wrote (112580)	3/26/1999 11:01:00 AM
From: SecularBull	Read Replies (1) \| Respond to of 176387

Unlike some, I do not criticize those that choose to keep all (most) of their portfolio in DELL. For me, personally, I've just been in it for such a long time and made a bunch of money, and now I am able to diversify. In early 1996 I had about $50,000 in cash, and decided to get into the stock market, with half of it in DELL. By late '96, I was completely in DELL. Between equity and options (the latter being the real engine of growth), I put together a great position in DELL, and a sizable portfolio. Last October was an eye-opener for me, and I decided that if I was going to let it all ride in the market, it would not be primarily in one stock. So, during the October lows (and earlier in the year), I picked up options on the companies I would like to own. I have slowly reduced my DELL equity (while maintaining leverage with leaps), and used that money to exercise the options on the other companies. My primary concern is not just with DELL's valuation. Rather it has much more to do with my extensive use of margin and options to leverage my portfolio, and the potential negative effects related to owning just one stock in this scenario. I've made too much, and worked too hard on this portfolio to let it all blow up in an equity eating correction. Yes, it is true that the diversification will probably slow my gains. Yet, with a 698% return last year, I guess that I can sacrifice some, year-over-year. This post is not a call to sell. This post is intended to call for everyone to take a reality check, and make sure that they understand and are comfortable with their risk. Besides, now may not be the best time to sell. Loving the Company, LONGonDELL