LogFAQs > #951936308

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Topic	Stock Topic 25
Colegreen_c12 03/20/21 10:57:06 PM #350:	red sox 777 posted... Colegreen, what are the rules for holding cash in the account to secure the put? In Moonroof's case, would he need to actually keep 112k in cash in the account or could he invest it in stocks? Or could he secure it with some percentage of the potential liability, like how margin works for shorting? I honestly don't know for sure. I think it depends on your broker and I know it works differently for margin and non-margin accounts. I believe on a non-margin account a cash-secured put requires having the full cash amount however. --- DPOblivion beat us all. <cite>Colegreen_c12 posted [p:951936308] in Stock Topi... [t:79347192]...</cite> <quote>red sox 777 posted... </cite> <quote>Colegreen, what are the rules for holding cash in the account to secure the put? In Moonroof's case, would he need to actually keep 112k in cash in the account or could he invest it in stocks? Or could he secure it with some percentage of the potential liability, like how margin works for shorting?</quote> I honestly don't know for sure. I think it depends on your broker and I know it works differently for margin and non-margin accounts. I believe on a non-margin account a cash-secured put requires having the full cash amount however. --- DPOblivion beat us all.</quote> ... Copied to Clipboard!
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