Springfield globe-republic. (Springfield, Ohio) 1884-1887, 1886-11-04
MADE CLEAR As DAY.
WALL STREETS PUTS" CALLS
SPREADS" AND "sTRAooLsS."

Mr.. Russell Sage the Inventor of These
Ingenious Speculative Device.-A Con
hdential Clerk Explains Them to an
Inquiring Novice.
Mr. Russell Sage was the pioneer who in
vented puts, calls, spreads" and ''strsd
dies" He began dealing in them when he
first came TO Wall street in 1861, after his
withdrawal from congress, and he has been
dealing in them ever since; and the stock
markets of the world have taken up this in
genious speculative device OF Mr.. Sages, and
stock privileges are just as well known on the
continental boursas to-day and in the London
market as they are here, and they are largely
dealt in. Perhaps not 50 largely as here, be-
cause the device is American and an outcome
of American genius, but transcontinental
Spectators could not fail to see the advant-
ages they offered and have perforce adopted
them. London declares that the nomencla-
ture, so far as spreads" and "straddles" are
concerned, is not refined, and call them differ
emily, but what they deal in are American
stocs privileges just the same.
MADE As CHAR AS DAY.
And what are puts calls spreads and
'straddles'i" asked the writer when he first
went down on Wall street.
- - go ~ ~
~ -'.as.3-,, 49,. - I'm III @ ;. NJ, '';s 20
tuo''lon .l.:l u 80 ~ ~ !" - -
~ ln =. " .. -. 'ns !, p-n 80
.u:Nl1 lo 80
--s ~ n..iNe .-o '.e 80. = ny "'
, eNniiA, Atns suoJeV' " AN on tou Ieni
80 u'oi - puI. % nno 90 oe,iiS, out '.,'
-, - So. - II. 'io
ii''eu NS ~, Wv ~. "a"' Iney
~ no .He iHe N'-i,e = 'A VIC "T'u
:. peHn . |" S' Soi'' az y ~ ~
W.. 60, -
"a", 10Y uou,u VI i.n .l oy' en-
SO " pun - ~ -. =; n ~ ~ s..e o.,'
-, u " i ~ wy q -. 'no
H1 y. - pi.,', 'N'
- a. . el ' - ~ ~ ast " - .S - C.
.s al '0u nv 'He 'P''0'i u WIG N'iuei '0'
'tA'' sc,,r
-:-'.,--
n an . a p VI 'no ,. niNHei
o. Ie. 'a-n ~ ioe alL Sie ~. y. - /. pm
Aeeou " oAA iol 80 ... a.s Vi '.o.A ~
- - =. w. -. - I,a - hniss
-, - r.. .,,I -, ., a,,;,,o,. - e.. -
Of the privilege stock at a certain agreed on
nrice within a certain number Of days Clear,
No Well lets try once more
.Suppose Western Union is selling at 20 A
man wants a sixty day .put' on il at GG he
cause he believes the stock is going down He
gives Mr. SAGE Mr. White. Mr.. Kennedy or
Mr. Gould Der cent on the amount OF stock
he wants to deal in A hundred shares il
rsual and | Der cent. is sIO0 H. receives
return a slip OF paper signed by either one or
the other of these gentlemen Then II ws,,-
ern Union goes below 66 within sixty days
he NAV buy il for whatever il is selling for
below that price and mt, il To the maker Of
the privilege at the price agreed on. 6S, and
receive a check for 50, coo The holder makes
the difference. All, YOU understand. III
telegraph does not 90 below 66 the holder is
out his slOO. The cali business operates e1-
actly in the opposite way. A man buy, the
Of calling Western Union at IS
when it is selling at 20. II it sells above 75
YOU can can on the maker of the privilege for
100 shares at IS, and the 100 shares are thus
bought by the holder for s. 500. and he turns
around and sells il at 50. il the stock in
selling there. and pockets the difference
ssPREAps- AND asTR.ppLrsr
s,y,., .hou, .s,,rsads, and ..traadI.srr
"A .-,rad,JI., ;s q .r,,,, All .I..Ir car,,t;,a,
7ha bold.r q, one NAV .D,t, sto.,L % g.
maLsr m tho nr;yilee,e or scaIr for !. STD.
a., oor,,a hio,b haca,,sa ,b.r. ;s r,o,.v T.,
+ha,,, ,,bicha,-s- ,,,.,, ,b,, ,,,.rLa, 70