Long Warrants, Short Options Spread

Discussion in 'Options' started by misterkel, Jul 26, 2021.

  1. I'm looking at a long warrants, short options spread. Is there a way to do this so margin is reductive rather than additive? The options expire earlier, but they are roughly the same price for same expiry, so it is a very solid trade if the margin doesn't ruin it by being tied up for 18 months.
    Anybody know about this?
     
  2. FSU

    FSU

    Reg T or Portfolio Margin?
     
  3. ajacobson

    ajacobson

    Converts or warrants are easy to use as one side of the arb in HNW or institutional. In retail, you'll find there may exist obstacles so ask your broker first.