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You're talking about 2 different things. Of course you may need additional margin if an index moves 60% against you and you are short options naked. You would have lost a lot of money here. The OP was asking about not closing cash settled options before expiration. With cash settled indexes...

If you are short a call or put that moves against, they may require additional margin over what was initially required, but you don't need to come up with any cash for the exercise (long or short). So, if you had bought todays SPX 3680 put for 1, the index closed at 3678.43, it would be as...

Huh? No this is incorrect. The purpose of trading cash settled options is you don't have to worry about exercise risk. No margin calls here. For example, if you buy/sell a vertical in the SPX and it expires in the money, everything is settled to cash, you don't have to come up with any funds.

Lots of discussion on Reddit WTF? 20% Withholding tax? : interactivebrokers (reddit.com) Just received from IBKR: 20% tax on interest payments to individuals regardless of resident status!! : interactivebrokers (reddit.com)

Ha, would be more impressive if I retired long ago. Started trading in 1987, just before the crash. In the OEX pit for most of the 25 years on the floor of the CBOE.

I was there at the time. A lot of worried traders.

I would agree, an extremely wide spread. I just bought some Tbills on Fidelity today and the spread was very tight. The bid yield vs the ask yield was 3.47/3.52. These were zero coupons as well

Looks like this is the answer. Note is paying 1.625% plus the discount to par (as OP calculated as 1.346) totals 2.971 about what is quoted.

I don't think a Prop firm would help you. I was in a similar situation as you (but with about 25% of your volume) and traded under a JBO/Prop firm. I gave that up a number of years ago and just trade a PM account as a retail trader. Costs are higher not lower with the JBO/Prop. You will pay...

Great site, very impressive. I have been checking it regularly. I assume you are scrapping time and sales for the information. If you are planning to allow retail traders the ability to post their box spreads, you may want to simply scrape information from the COB and post all standing box...

I don't agree with you here. Doing the combo in this situation would reduce your risk, not increase it. If you are assigned on your short put, you will get long stock. This would put you in the exact position you would have had if you bought stock vs doing the combo. You also would have the...

By doing a combo in a hard to borrow stock, you will essentially get the full short rate instead of sharing it with IB. The short rate is "written in" the price of the options. So instead of being long stock, you would be long calls and short puts of the same strike. You would want to pick...

This site lists all SPX boxes that have traded and gives an implied interest rate. SPX Box Spread Yields | Boxtrades.com

You would enter the order as a spread. Sell 100 shares of stock and sell 1 put. Just like any other options spread (call vertical, put vertical, etc) your order will be generally sent to an exchanges COB (complex order book). Here the order will be looked at and filled as a spread, so you...

If you are assigned early on the short side of a put spread, this is a margin issue, not a risk issue. You will have no more risk than you had before (except potential interest charges to hold the stock). You will need more money to hold your newly assigned stock, but if you don't want/can't...

Yes, it can be confusing. They list Aug 18th as it is the last trading date. You have to know the difference between SPX and SPXW. It's confused a lot of people.

If you were short those puts, looks like it would have been bad. Glad you covered. There is a lot of risk (and potential reward) trading these AM expiring options as they are difficult to hedge and you can have an extreme print on the settlement price.

We don't know where these settled at yet. They are no longer trading and settlement will be based on the opening price of each of the SP 500 component price this morning. The exact number will be posted on the link I listed an hour or two after the opening.

If you don't close you position on the curb session before it stops trading at 5pm et, you will be at risk of wherever the SPX opening mark (SET) is tomorrow morning. That value will be listed here tomorrow Index Settlement Values (cboe.com)

Looks like you traded SPX AM options that settle based on tomorrow mornings opening. They trade until 415 pm et (and on the curb session for an additional 45 minutes). The SPXW options are the ones expiring based on the 4pm SPX closing settlement price. They stop trading at 4pm et. Looks...