Can anyone tell me how DJX options are taxed in the US.. are they taxed like Future (60/40 rule) or are they taxed like equities....
Page 21 of this booklet says it does, but it's from 2001, so I guess the treatment could have changed, but I doubt it. HTH http://www.cboe.com/LearnCenter/pdf/TaxesandInvesting.pdf
thanks BobbyMurcerFan. Based on pg. 37 and 38 of http://www.irs.gov/pub/irs-pdf/p550.pdf and http://www.cboe.com/TradTool/Symbols/SymbolDirectory.asp?MODE=IndxOptsNLeaps&POPUP=false note the of DJX type is "broad".... and http://www.cboe.com/LearnCenter/pdf/TaxesandInvesting.pdf I conclude that these are Section 1256 Securites, and hence 60/40 rule applies to the DJX Options...
No, those are options on an Index Tracking Stock, and not an Index itself. They (QQQ options) are comparable to options on the DIA.
the CBOE page http://www.cboe.com/TradTool/Symbols/SymbolDirectory.asp?MODE=IndxOptsNLeaps&POPUP=false does specify "Broad" for QQQ options too ...