Registered: Jun 2008
09-15-12 08:04 PM
Quote from stevegee58:
Yes. I have a traditional IRA approved for FX trading.
If you try to execute a *leveraged* FX trade in it, you will find that you cannot do it.
A leveraged trade means that you are short one currency and long another in an amount greater than the account balance.
I had such an account also and while you can do unleveraged FX trades in it, it will issue an error message if you try to do a leveraged one, to the effect that executing the trade would lead to a debit balance which is not allowed in an IRA account in any currency.
I tried it and that is what happens. It is also on the IB web site.