Interactive brokers raising vix margin

Discussion in 'Retail Brokers' started by just21, Aug 5, 2017.

  1. Thanks, Robert, noted. I need to take a hard look at my IB inertia.
     
    #11     Aug 6, 2017
  2. Even my margin on 100% cash has increased . Should I put up more cash to cover my cash?
     
    #12     Aug 6, 2017
  3. Sure, but only if you can borrow it.
     
    #13     Aug 7, 2017
  4. For calls only, I now have to put up about 75% for each VXX or SVXY and 150% for each UVXY. But Shorting the stock is still only about 30%/60% VXX/UVXY................... Make sense to you?
     
    #14     Aug 7, 2017
  5. huh, calls have a lot more leverage than the stock , no?

    if you have to ask a question like that, maybe you should close your account now.
     
    #15     Aug 7, 2017
  6. ps , im seeing on a uvxy short call (31) selling 60 cents

    2500 initial margin
    1000 maintain

    wow
     
    #16     Aug 7, 2017
  7. I'm not asking the question, I am stating that's how it is now. Last week in my IB account, if I shorted a VXX ATM call it had me put up 30% of the underlying 100 qty, this is the same amount when I shorted 100 of VXX itself. Today, shorting VXX itself still only asked for 30% margin, but shorting the same call asks for 75%. (initial)

    So if I entered either 1 short call or 100 short VXX, the loss would theoretically be the same (less the premium of the call) but it costs more for the call now.
     
    #17     Aug 7, 2017
  8. Shorting that same call in my account is way different actually.

    upload_2017-8-7_13-33-21.png
     
    #18     Aug 7, 2017
  9. think about the effect of IV expansion on the call.
     
    #19     Aug 7, 2017
  10. newwurldmn

    newwurldmn

    Have you called IB to ask them?

    That makes no sense unless they are gigging you for liquidity.
     
    #20     Aug 7, 2017