Margin and Options

Discussion in 'Options' started by 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?
  2. Stock options are not marginable, so you can only buy $100k worth of them in a $100k account.
  3. just21


    If you are long stock in the IB account you can use the margin to sell futures options, which are span marginable.