/ES options question

R

raf_bcn

Hi
One question about FOPs.
If I sell a FOP on ES, am I going to receive cash ? and will I receive interest from this cash ? My broker pays interest on positive cash balance.
If I sell /ES i don't receive cash, it is not like short selling stocks or ETFs. With /ES the settelment is different and it is daily taked or added to the margin.

But what about selling options on /ES. The buyer will pay me and that amount will go to my cash balance? or it works another way.

thanks.
 
Hi

So, the credit will remain in my cash balance until I close the position? And consequently I will recieve interest for that credit.
Is that interest priced in the value of the fop options?
e.g. If I sell a call for a 1.2 credit and at the end of the day that call is valuated at 1.4, they won't take 0.2 from my credit.
With equity or index options they won't, but I wasn't sure about /es options.

Thank you.
 
lets say you collect 100 for selling the option you get 100 less the commision paid - stop

now if you get interest on your account balance or don't that between you and the clearing firm. or if you did enough you could purchase t-bills and draw that.
 
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