IRA recommendations

[rtr1129]

I am rolling over about $5k from a 401k to an IRA. I'd like to have the ability to try some options strategies. Probably simple covered calls at first, but I'd at least like the option to do spreads. Any recommendations of brokers I should look into that fit this?

 

[LEAPup]

If you had 10k, IB to write cc's. Anyhow, http://www.investopedia.com/article...vered-calls-increase-income.asp#axzz1TeXUhMJf

 

[rmorse]

Quote from rtr1129:

I am rolling over about $5k from a 401k to an IRA. I'd like to have the ability to try some options strategies. Probably simple covered calls at first, but I'd at least like the option to do spreads. Any recommendations of brokers I should look into that fit this?

Sorry, but I don't think $5K is enough money for even simple option strategies. If you're doing 1 lots on low priced stocks, your return will be killed by commissions at retail rates.

 

[rtr1129]

Quote from rmorse:

Sorry, but I don't think $5K is enough money for even simple option strategies. If you're doing 1 lots on low priced stocks, your return will be killed by commissions at retail rates.

Thank you for this advice. What would you suggest as a realistic minimum to start with options strategies? Will the commissions on basic stocks also be prohibitive at this level?

Is it also unrealistic to try selling calls covered by another call or LEAP with this amount? I had thought this might open up my options more to higher priced stocks.