NEW YORK, Dec. 10 - The National Association of Securities Dealers, Inc. Board of Governors and thc New York Stock Exchange Board of Directors have approved proposals to establish special margin requirements for customers who day trade in an effort to address the risks associated with the practice.

The proposals, to be submitted to the Securities and Exchange Commission for approval, would amend NYSE Rule 431 and NASD Rule 2520, which govern margin requirements.

Under the proposed rules, customers who engage in a pattern of day trading would be subject to minimum equity requirements. The amendments would also limit a day trader's buying power to an amount based of funds that must be in the account prior to any day trading activities.

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· Provide that a pattern day trader's account must maintain a minimum equity of $25,000, at all times, as compared with a S2,000 requirement for other margin accounts. If the account of a pattern day trader falls below the required minimum equity, no further day trades will be permitted until the requirement is maintained.

· Restrict pattern day traders from trading in excess of their day-trading buying power. If the day trading buying is exceeded, the account will be margined based on the total cost of all day-trade purchases for that day, and the customer's day-trading buying power will be reduced until the necessary margin is deposited.

· Restrict pattern day traders to day trading on a cash-available basis only, if the special margin call is not met within five business days.

· Prohibit pattern day traders from utilizing account guarantees otherwise permitted in margin accounts.

· Restrict withdrawl of money deposited to meet minimum equity and maintenance margin requirements for two business days in order to provide greater financial stability to such accounts.

Source:  Rich C. Adamonis/NYSE      (212) 656-2140
              Nancy A. Condon/NASD Regulation       (202) 728-8379

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Fahnestock and Co. Inc., our clearing firm, has advised Freedom Investments that the fee structure for self-directed IRA's has been revised. The annual fee for each IRA will be $35. In addition, this fee will be charged to the account in February each year. IRA Account holders have the option to submit a check to cover the fees; however the check must be received by Freedom by February 1. The only way to "reimburse" the IRA for the fee that has been debited would be to consider it a l999 IRA contribution (if received by April 15) or a 2000 IRA contribution.

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Nothing herein is to be construed as a solicitation or any transaction. The information presented has been obtained from sources considered to be reliable, but it is not purported to be complete or without error. Freedom Investments, Inc. and Fahnestock & Co Inc. and/or the officers and directors, and/or members of their families, may at times have positions in any securities mentioned. All commissions and fees are subject to change without notice.