From:	David Loewenstern <loewenst@****.RUTGERS.EDU>
Subject:	Re: Corporate Shadowfiles
Date:	Fri, 27 Aug 1993 18:23:06 EDT

... On 27 Aug 1993, Chris Siebenmann said:
} Comments: To: Multiple recipients of list SHADOWRN <SHADOWRN@*****.bitnet>

} I suspect that CR didn't talk about dividend calculations for bonds
} and stocks because 'runners aren't expected to hang onto them, they're
} expected to sell them off -- the stocks are a convenient form of
} 'cash'.

} Note that dividends may well be *very* low; even today, typical
} price/dividend ratios of stocks are typically up in the 20's. In this
} situation, you're not going to make much money out of holding stocks.

} - cks

Dividends won't make you rich, but 'runners are in a position to have
inside information. As in: the new product Renraku has been promising
for six months is likely to be delayed, because someone kidnapped
the head of research for that product... Fuchi's control of this
market niche appears to be safe for now.

Inside information can strongly affect market price. It can pay a
'runner to hang onto a stock until the market learns what he already
knows.

Of course, inside information is worth money in itself, since it can
be sold to people in a position to buy more stocks (or options!) than
you can.

Quincunx