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To: XBrit who wrote (192769)	9/19/2002 12:45:44 PM
From: Don Lloyd	Respond to of 436258

XBrit, shorting puts in an IRA isn't allowed by any broker. It requires margin. The short puts could be cash-secured, but I don't remember if I've actually seen that. Regards, Don

To: XBrit who wrote (192769)	9/19/2002 1:29:02 PM
From: Gersh Avery	Read Replies (1) \| Respond to of 436258

does not require margin to write puts. nice little trick my former broker used to try to pull on me: "short a put" "Gee .. I secure it 100% with cash and borrow the put from you so I can short it .. and I pay you interest .. " Yes .. and the iceing on the cake is that it requires margin to get screwed that way and is not allowed in a IRA because of it. My broker allows writing in my IRA: optionsxpress.com

To: XBrit who wrote (192769)	9/19/2002 4:32:36 PM
From: mishedlo	Respond to of 436258

I believe you can. I did it (by accident - at fidelity - perhaps they should not have taken it). I believe you can. Buy 1 put on a stock ay 20. Max risk is $2000. As long as cash reserve stays at $2000 there is no risk. I actually lost on the trade and callde Fidelity to reverse it cause it was illegal. They said sorry (close it out yourself) which I did for a loss. It it can not be allowed then FIDO made a mistake and should have reversed it. My understanding is that it is allowed as long as you have adequate cash reserve. Shorting calls IS never allowed as there is no limit to the risk. M