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Author: 1000 Big funky green star, 20000 posts Top Recommended Fools Feste Award Nominee! Coverage Fool Supernova Phoenix 1
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Subject: Re: Getting Paid While You Wait Date: 6/3/2003 5:09 PM
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Hi XFatOtt,

I am sorry

By the way, it is x-F-a-t-O-t-t

I did not have my reading glasses on. I felt I could see well enought without them, but evidently I am was wrong. I am sorry I really thought it was the other.

I really don't understand the point of this - if you change your mind after you've written a put, you have to buy back the contract at some unknown price. Buying and selling the same contract brings on transactions costs and uncertainty - how on earth is that the same as the flexibility you have when you don't sell the put?

If you change your mind on buying a stock after you bought it you have to sell it also at an unknown cost and you will also have a transaction price. Option commissions are a bit higher than stock commissions.


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