Brokers that provide margin for stocks under $3

[jddflorida]

Does anyone know of any broker other than Interactive Brokers that don't allow stocks under $3 to be marginable? I have heard etrade goes down to $2. But interested in going with a Broker other than Interactive or Etrade if possible.

Currently with Investrade which has 50% requirements for stocks under $5 and 100% requirements for stocks under $3.

Thanks,

JDD.

 

[Option Trader]

Be careful even with a broker that goes down to $2, as it's an unnecessary risk to add to the trade to assume the stocks will in the short run always stay above a certain price.

Currently, there is very little correlation between actual value of the stocks & the temporary market prices.

 

[gaj]

etrade's awful for that. look for a broker which allows shorting of under $5 stocks. there are plenty out there; tradestation is just the tip of the iceberg, but requires $5 margin / share of under $5 stock.

btw, penson *used* to only allow above $5 unless you signed off a bunch of stuff and your broker did likewise. don't know if it's changed...but that's why i never seriously loooked @thinkorswim, because penson clears for th em.