Prop Firms for Options Writers

[magicz]

Quote from Steve Dillinger:

We take option writers. You would have to accept some reasonableness on what you are doing. Do not expect to write many puts on GOOG and POT.

We do not require a Series 7.

To be considered for membership need to have pretty significant market experience.

Call or send me an email if you want to discuss more.

I would love to work with you but $1000 monthly up front fee make me laugh. If the membership fee was like a low percentage of the monthly gross + commission. then I'll put 50K down ASAP. What you advertised is completely one sided. I would rather pay retail at $1.00 per at least I know I can control my fees. Plus you probably looking for the .05 - .10 churners that do high volume anyways.

 

[magicz]

Quote from Mvic:

If you have $500K to put up look at a PM account with optionshouse, flat rate on option trades ($9.95 for up to 3000 contracts per leg)

let me borrow 400k?

 

[tyrant]

Quote from atticus:

Open a PM account with interactivebrokers.

What is a PM account and how does it differ from a regular account? More leverage and cheaper commissions? If so, what is the critieria for getting it?

Thanks

 

[atticus]

Quote from tyrant:

What is a PM account and how does it differ from a regular account? More leverage and cheaper commissions? If so, what is the critieria for getting it?

Thanks

Portfolio Margin account. It's TIMS-based risk-margin available to customers with >$100k in their account. It's a simple application process.

 

[ammo]

Quote from magicz:

I would love to work with you but $1000 monthly up front fee make me laugh. If the membership fee was like a low percentage of the monthly gross + commission. then I'll put 50K down ASAP. What you advertised is completely one sided. I would rather pay retail at $1.00 per at least I know I can control my fees. Plus you probably looking for the .05 - .10 churners that do high volume anyways.

the 1k upfront fee may entitle u to market maker rates and lower margin,without owning or renting a seat,that's generally what these firms offer and they expect to profit from it,if you trade enough size it would probably save you a ton in commmish

 

[magicz]

Quote from ammo:

the 1k upfront fee may entitle u to market maker rates and lower margin,without owning or renting a seat,that's generally what these firms offer and they expect to profit from it,if you trade enough size it would probably save you a ton in commmish

remember they are still charging u .25 per contract + all pass thru fees. so they are still making tons of money off of you plus the $1000 up front. Like you said if we trade enough volume then why the $1000 up front.

 

[tyrant]

Quote from atticus:

Portfolio Margin account. It's TIMS-based risk-margin available to customers with >$100k in their account. It's a simple application process.

Is it specificcally for options trading mainly? Is the TIMS based more lenient compared to SPAN? Do you need trade big volums to qualify or is in based on acc. size >100k? And ano difference in comm?

Thanks a lot, atticus

 

[atticus]

Quote from tyrant:

Is it specificcally for options trading mainly? Is the TIMS based more lenient compared to SPAN? Do you need trade big volums to qualify or is in based on acc. size >100k? And ano difference in comm?

Thanks a lot, atticus

PM applies to stock as well. No volume req; only that you maintain a cash balance in excess of $100k. If you close under $100k you revert to reg-T. Same comms.

 

[ammo]

Quote from magicz:

remember they are still charging u .25 per contract + all pass thru fees. so they are still making tons of money off of you plus the $1000 up front. Like you said if we trade enough volume then why the $1000 up front.

my experience with these types is a little dated,but they were more interested in adding your cash pile to theirs so they could trade with other peoples money and put their cash away,they would get enough people to come in for the better rates and use the unused portions to put traders out and collect part of the profit,with this thought in mind,u would think negotiating would not be out of the question

 

[magicz]

Quote from ammo:

my experience with these types is a little dated,but they were more interested in adding your cash pile to theirs so they could trade with other peoples money and put their cash away,they would get enough people to come in for the better rates and use the unused portions to put traders out and collect part of the profit,with this thought in mind,u would think negotiating would not be out of the question

I know what you mean. But some people might think that is a great deal, to pay up front and be charge commission per contract.