Portfolio insurers performed quite credibly in protecting their clients' "floors" in the exceptional conditions of October 19 and 20. Although slow futures sales meant LOR was "underhedged by 50 percent" on October 19, it "still met its floor for 60 percent of its clients" with the rest of its accounts suffering "floor violations that ranged between 5 and 7 percent" (Voorhees 1988, p. 57).

Donald MacKenzie, An Engine, Not a Camera, loc. 841