If someone has a trader status under IRS regulations can one also have a separate long term account which is not marked to market at years end?
It looks to me like Yes, you can if you can detailed records. It would be easier to use two accounts. One for trading and one for investments. If the nature of your trading activities does not qualify as a business, you are considered an investor and not a trader. It does not matter whether you call yourself a trader or a day trader, you are an investor. A taxpayer may be a trader in some securities and may hold other securities for investment. The special rules for traders do not apply to the securities held for investment. A trader must keep detailed records to distinguish the securities held for investment from the securities in the trading business. The securities held for investment must be identified as such in the trader's records on the day he or she acquires them (for example, by holding them in a separate brokerage account).