Hello I'm applying for a PF account at ToS and have to pass this 20 question test before I can be approved. 95% of my trades are equities based with the occasional vanilla buying call or put trade. Anyway I've spent some time reviewing these questions and think I have he right answer but would appreciate if an experienced option trader take a look and lmk if I have these right. Thanks
It's E for 11. As time passes, ITM delta increases and OTM delta decreases. Correct on 16. Some brokers want $100,000 in the account before they approve naked selling. This implies to me that TD is one of them.
I am also applying for a PM. Attached is my 20 answers to the questions. May an experienced option trader review my answers. Thank you for your assistance.
If you are asking online for the answers to a test that's supposed to gauge your understanding of the risks you are taking in a PM account, then perhaps you shouldn't be running a PM account.
Nice bump this thread is two years old lol Anyway passed test and trading is going well. If you do some research you can find most of the answers online. PM was designed primarily for options traders but for equity traders that want increased overnight leverage it's the only option so most of these questions are pointless. If you are an options trader then yes you should take the time to understand the material. The leverage I'm getting isn't anywhere near 6:1 btw it's more like 3.2:1 still better then a margin account but not by much.