What is required to obtain approval for exceeding position limits?

Discussion in 'Options' started by Error Correction Funder, Mar 5, 2018.

  1. Robert Morse

    Robert Morse Sponsor

    I can’t tell if you are joking.
    Chubbly likes this.
  2. ajacobson


    I think that thought is growing through all of minds, but if your serious your broker applies. They contact FINRA at plhedge@finra.org. It has to be the broker as they carry the risk. Their parameters are published and your broker will need to do some homework on trailing volume. Getting an increase to hedge is fairly easy and you'll need to support that. Speculative increases are harder to get.
  3. Thank you.

    It's back to the drawing board with your last sentence then.
  4. ajacobson


    You still may want your broker to ask. Harder - not impossible.

    Not sure if this current, but it'll give a sense of what they want.
  5. Thanks again.

    250k is an absolute limit?
  6. ajacobson


    It could be and it is investors "acting in concert". That is why you apply for an exemption assuming it is an individual equity name. There may be more disclosure depending on the dollar/percentage amount.
    You may want to spend a few hundred bucks and talk to a securities attorney. Some will argue synthetics aggregate differently.
  7. , o_O
  8. Handle123


    A good attorney and huge increase in funding your account as no broker dumb to allow their business to be on the hook when you have mountain of losses. This is why margins go up to stop underfunded retail traders when markets drop. No free lunches unless you let them hold much more margin.
    beginner66 likes this.
  9. We have whales
    #10     Mar 6, 2018