T traderum Dec 15, 2009 #1 Suppose you have a 100k margin account at a retail broker (for example IB), so your day trading buying power is the usual 4:1, ie. 400k. Can you buy options for 200k in this account? Or what is the max possible?
Suppose you have a 100k margin account at a retail broker (for example IB), so your day trading buying power is the usual 4:1, ie. 400k. Can you buy options for 200k in this account? Or what is the max possible?
L loufah Dec 16, 2009 #2 Stock options are not marginable, so you can only buy $100k worth of them in a $100k account.
J just21 Dec 16, 2009 #3 If you are long stock in the IB account you can use the margin to sell futures options, which are span marginable.
If you are long stock in the IB account you can use the margin to sell futures options, which are span marginable.