TradeStation Securities
 
 
Search
Asset Classes Pricing Order Execution Market Data Account Types Account & Margin Requirements Funding & Banking Online Statements, Reports, & Lists
System Requirements
Send this link to a friend
Brokerage Services Trading Platform Open an Account Support & Community
Account and Margin Requirements

Stocks & ETFs Futures Forex Stock & Index Options
Stock & ETF Trading
  Pattern Day-Trading Accounts -- $ 30,000. Non Day-Trading Accounts -- $5,000  
     
 

Margin requirements are structured for a diversified portfolio. Accounts that are using margin for holding concentrated positions may be asked to make immediate changes.

Please contact us for information pertaining to TradeStation Securities margin requirements and concentration parameters.

IMPORTANT NOTE: Margin trading involves risks and it is important that
you fully understand those risks before trading on margin.
The FINRA Margin Disclosure Statement outlines many of those risks, including:

  • You can lose more funds than you deposit in your margin account.

  • Your brokerage firm can force the sale of securities in your account.

  • Your brokerage firm can sell your securities without contacting you.

  • You are not entitled to an extension of time on a margin call.
  
 

Pattern Day Trading Accounts: Based on FINRA and NYSE day trading rules, any account that places 4 day-trades in a 5 trading day period is permanently deemed to be a “Pattern Day Trading” account. Pattern Day Trading Accounts must maintain a minimum daily equity balance of US $25,000. If the account balance falls below $25,000, trading is restricted to closing transactions only until the account balance is increased to $25,000.

  
 
 

Non-Day Trading Accounts: Non-Day Trading Accounts (an account that has never placed 4 day-trades in a 5 trading day period) must maintain a minimum daily equity balance of at least $5,000. Non-Day Trading Accounts are restricted to 3 opening transactions per day, less the number of day trades made in the preceding 4 trading days. For example, if you have made 2 day-trades in the preceding 4 trading days, you will be permitted to place 1 new opening transaction (Buy or Sell Short) on the current day. You will still be able to place as many closing transactions (Sell, Cover) as you would like on the current day. Based on FINRA and NYSE day trading rules, an account which places 4 day-trades in any 5-day period will be deemed to be a “Pattern Day Trading” account permanently. See “Pattern Day Trading Account” requirements above.

  
 
Futures Trading
Futures Minimum Initial Account Balance -- $5,000. Futures IRA Minimum Initial Account Balance -- $15,000
 
Futures Margin Requirements

Click here to view margin requirements which are updated daily at 9AM ET.
 
Forex Trading
  Forex Minimum Initial Account Balance -- $5,000
  Forex IRA Minimum Initial Account Balance -- $15,000
 
Stock Options & Index Options Margin Schedule
Position
Margin Accounts
Cash Accounts
Initial
Maintenance
Long Call Buy Call 100% Cost of the Option N/A 100% Cost of the Option
Long Put / Protective Put Buy Put/Buy Put and Buy Underlying 100% Cost of the Option N/A 100% Cost of the Option
Covered OTM Call Buy Stock trading at P and Sell Call with Strike Price > P Requirement Long Stock (marked to market) Requirement Long Stock (marked to market) Requirement Long Stock (marked to market)
Covered ITM Call Buy Stock trading at P and Sell Call with Strike Price < P Requirement Long Stock (marked to strike price) Requirement Long Stock (marked to strike price) Requirement Long Stock (marked to strike price)
Covered OTM Put Short Stock trading at P and Sell Put with Strike Price < P Requirement Short Stock (marked to market) Requirement Short Stock (marked to market) N/A
Covered ITM Put Short Stock trading at P and Sell Put with Strike Price > P Requirement Short Stock (marked to market) +100% Put ITM Value Requirement Short Stock (marked to market) +100% Put ITM Value N/A
Cash-Covered Put Short Put with enough cash to cover exercise N/A N/A (Strike Price x Multiplier x Contracts) — Premium Proceeds
Naked Call Short Call Greater of these 3 values:

1. 100% of the option proceeds + (20% of the Underlying Market Value) - (OTM Value)

2. 100% of the option proceeds + (10% of the Underlying Market Value)

3. 100% of the option proceeds + ($250/contract)

Greater of these 3 values:

1. Market value of the option + (20% of the Underlying Market Value) - (OTM Value)

2. Market value of the option + (10% of the Underlying Market Value)

3. Market value of the option + ($250/contract)

 N/A
Naked Put Short Put Greater of these 3 values:

1. 100% of the option proceeds + (20% of the Underlying Market Value) - (OTM Value)

2. 100% of the option proceeds + (10% of the Strike Price x Multiplier x Contracts)

3. 100% of the option proceeds + ($250/contract)		 Greater of these 3 values:

1. Market value of the option + (20% of the Underlying Market Value) - (OTM Value)

2. Market value of the option + (10% of the Strike Price x Multiplier x Contracts))

3. Market value of the option + ($250/contract)		 N/A
Bear (Credit) Call Spread Buy Call and Short Call (Strike Price Long Call > Strike Price Short Call) Net Premium + (Strike Price Long Call - Strike Price Short Call) x Contracts x Multiplier (Strike Price Long Call - Strike Price Short Call) x Contracts x Multiplier Net Premium + (Strike Price Long Call - Strike Price Short Call) x Contracts x Multiplier
Bull (Credit) Put Spread Buy Put and Short Put (Strike Price Long Put < Strike Price Short Put) Net Premium + (Strike Price Short Put - Strike Price Long Put) x Contracts x Multiplier (Strike Price Short Put - Strike Price Long Put) x Contracts x Multiplier Net Premium + (Strike Price Short Put - Strike Price Long Put) x Contracts x Multiplier
Bull (Debit) Call Spread Buy Call and Short Call (Strike Price Long Call < Strike Price Short Call) Net Premium N/A Net Premium
Bear (Debit) Put Spread Buy Put and Short Put (Strike Price Long Put > Strike Price Short Put) Net Premium N/A Net Premium
Long Straddle Buy Call and Buy Put with the same Strike Price 100% Cost of the Options N/A 100% Cost of the Options
Short Straddle Short Call and Short Put with the same Strike Price

Greater of these 2 values:

1. Requirement Naked Calls

2. Requirement Naked Puts

+ Premium Other Options

Greater of these 2 values:

1. Requirement Naked Calls

2. Requirement Naked Puts

+ Market Value Other Options

N/A
Long Strangle Buy Call and Buy Put with different Strike Prices 100% Cost of the Options N/A 100% Cost of the Options
Short Strangle Short Call and Short Put with different Strike Price Greater of these 2 values:

1. Requirement Naked Calls

2. Requirement Naked Puts

+ Premium Other Options 		Greater of these 2 values:

1. Requirement Naked Calls

2. Requirement Naked Puts

+ Market Value Other Options		 N/A
Long (Debit) Butterfly Call Spread

Bear (Credit) Call Spread & Bull (Debit) Call Spread.

Short calls with the same strike price. Intervals between strike prices equal. All legs with the same expiration date.

Net Premium N/A Net Premium
Short (Credit) Butterfly Call Spread

Bull (Debit) Call Spread & Bear (Credit) Call Spread.

Long calls with the same strike price. Intervals between strike prices equal. All legs with the same expiration date.

 Requirement Bear (Credit) Call Spread Requirement Bear (Credit) Call Spread Requirement Bear (Credit) Call Spread
Long (Debit) Butterfly Put Spread

Bear (Debit) Put Spread & Bull (Credit) Put Spread.

Short puts with the same strike price. Intervals between strike prices equal. All legs with the same expiration date.

Net Premium N/A Net Premium
Short (Credit) Butterfly Put Spread

Bull (Credit) Put Spread & Bear (Debit) Put Spread.

Long puts with the same strike price. Intervals between strike prices equal. All legs with the same expiration date.

 Requirement Bull (Credit) Put Spread Requirement Bull (Credit) Put Spread Requirement Bull (Credit) Put Spread
Long (Debit) Condor Call Spread

Bear (Credit) Call Spread & Bull (Debit) Call Spread.

Intervals between spread strike prices equal. All legs with the same expiration date.

 Net Premium N/A Net Premium
Short (Credit) Condor Call Spread

Bull (Debit) Call Spread & Bear (Credit) Call Spread.

Intervals between spread strike prices equal. All legs with the same expiration date.

 Requirement Bear (Credit) Call Spread Requirement Bear (Credit) Call Spread Requirement Bear (Credit) Call Spread
Long (Debit) Condor Put Spread

Bear (Debit) Put Spread & Bull (Credit) Put Spread.

Intervals between spread strike prices equal. All legs with the same expiration date.

 Net Premium N/A Net Premium
Short (Credit) Condor Put Spread

Bull (Credit) Put Spread & Bear (Debit) Put Spread.

Intervals between strike prices equal. All legs with the same expiration date.

 Requirement Bull (Credit) Put Spread Requirement Bull (Credit) Put Spread Requirement Bull (Credit) Put Spread
Long (Debit) Iron Butterfly Bull (Debit) Call Spread & Bear (Debit) Put Spread. Long Call and long Put legs with the same strike price. Net Premium N/A Net Premium
Short (Credit) Iron Butterfly Bear (Credit) Call Spread & Bull (Credit) Put Spread. Short Call and Short Put legs with the same strike price. Greater of these 2 values:

1. Requirement Bear (Credit) Call Spread

2.Requirement Bull (Credit) Put Spread		 Greater of these 2 values:

1. Requirement Bear (Credit) Call Spread

2.Requirement Bull (Credit) Put Spread		 Greater of these 2 values:

1. Bear (Credit) Call Spread

2. Bull (Credit) Put Spread
Long (Debit) Iron Condor Bull (Debit) Call Spread & Bear (Debit) Put Spread. Net Premium N/A Net Premium
Short (Credit) Iron Condor Bear (Credit) Call Spread & Bull (Credit) Put Spread. Greater of these 2 values:

1. Requirement Bear (Credit) Call Spread

2.Requirement Bull (Credit) Put Spread		 Greater of these 2 values:

1. Requirement Bear (Credit) Call Spread

2.Requirement Bull (Credit) Put Spread		 Greater of these 2 values:

1. Bear (Credit) Call Spread

2. Bull (Credit) Put Spread
Requirement to place the trade.
Requirement to maintain the position overnight.
OTM = Out-of-the-money.
ITM = In-the-money. ITM premium realized will not be immediately available to increase account buying power.
Notes:
– Liquidating Value of Options is not counted as day trade margin equity.
– A minimum available equity of $2000.00 is required to initiate any new one-sided option positions.
–

A minimum equity of $5,000 is required for option strategies (e.g. spreads) and uncovered options. The liquidation value of options is not included when calculating equity
– When writing options, your buying power will be adjusted using the assumption that the position(s) will be held overnight. If that short position(s) is closed the same day, a day trade charge will be assessed using the naked margin requirement as required by the NYSE. This charge will not reflect in your intraday buying power figures and can consequently result in a day trade margin call that will be issued against the account the following day.
 


Important Information | Notice to Online Traders | Online Identity Theft and Security Reminders | TradeStation Securities Account Agreement for Securities Accounts | TradeStation Securities Account Agreement for Futures Accounts | TradeStation Technologies Subscription Agreement | Risks of Active Trading | Extended Hours Trading Risk Disclosure | Margin Disclosure Statement | Risk Disclosure Statement For Security Futures Contracts | Characteristics and Risks of Standardized Options | Description and Certain Risks of Forex Trading | Risk Disclosure Statement for Futures and Futures Options | Exercise and Assignment Policy for Futures Options | New York Board of Trade Electronic Order Routing Systems Disclosure Statement | Trading and Order Routing Disclosure Statement for Futures Trades | Special Statement for Uncovered Options Writers | Anti-Money Laundering Requirements | Business Continuity Plan Disclosure | Truth-in-Lending Disclosure Statement | Web Site User Agreement, Disclaimers and Certain Legal Notices | Privacy Policy


Site Map | Contact Us | Investor Relations | Terms of Use | Online Security | Privacy Policy | Customer Agreements | Business Continuity | Legal Statements | Careers
Copyright © 2001-2008 TradeStation Securities, Inc. All rights reserved. Leader in Rule-Based Trading tagline based on industry awards and reviews.

Member NYSE, FINRA, NFA & SIPC. A subsidiary of TradeStation Group, Inc. (Nasdaq Symbol: TRAD)