4 ms·

So only selling covered calls are allowed, in other words?

• rjtavares 13y ago
  "Covered calls" are covered by the underlying asset. That's not the same as a 100% margin requirement.
  • this_user 13y ago
    From the call writer's perspective it's indistinguishable from a covered call transaction. This also greatly reduces the service's usefulness as you are unable to implement many standard option strategies.
    • rjtavares 13y ago
      The initial transaction, yes, but not the final payoffs. I agree with you on the other issue (though you borrow money elsewhere to simulate a lower margin).
• deleted 13y ago
  [deleted]