Top 5 Annoying Shiba Inu Questions !
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@rilvyk7855
@rilvyk7855 2 күн бұрын
this is a rather risky strategy however you run it - while assignment isn't bad, it's certainly inevitable when selling options. Margin collateral is absolutely anything but free money. right here, he seems to be mostly running the Wheel or some variation of it to generate his 'free money' basically counting on the shares + premium paid being higher than what he gets assigned at; should assignment/exercise happen(which anyone can do at anytime for anyreason - could be a bot, algo,whatever)- Please do extensive research before trading options on MARGIN especially. Chances are if you cannot trade options on your own money, you will end up being assigned and left on the hook on margin esp. Look into managing positions and strategies before trying something like this, viewers! Great way to owe your brokerage thousands
@TruBlq
@TruBlq 28 күн бұрын
This answered all my questions. Thank you!
@jae9129
@jae9129 Ай бұрын
What is margin
@MooskiiiTV
@MooskiiiTV 2 ай бұрын
8% interest with gold now 😂
@youroptionsguy3444
@youroptionsguy3444 2 ай бұрын
Yeah it's brutal but better than personal loans rate
@MooskiiiTV
@MooskiiiTV 2 ай бұрын
@@youroptionsguy3444 Oh yea I use equity out my portfolio from Robinhood 8% is still great but 2.5% is crazyyy if they bring that back 😭😭
@RicardoHernandez-zr1pw
@RicardoHernandez-zr1pw 4 ай бұрын
What are you doing now?! You need to make a new video. Get back in the game!
@youroptionsguy3444
@youroptionsguy3444 4 ай бұрын
Literally haven't done anything except buy and hold bro , I've been a dad past 2 years hahaha but I still have 5 btc and 66 eth , might make a new vid when I hit 500k , but no time for vids , only time I would make vids was at night but baby sleeps ahah
@RicardoHernandez-zr1pw
@RicardoHernandez-zr1pw 4 ай бұрын
@@youroptionsguy3444 just make one and include the baby. No problem!
@Qpalzmcreehay
@Qpalzmcreehay 4 ай бұрын
Hi. Really great video thank you so much. Quick question. On the day you get paid dividends. Does the margin account take that money automatically, to pay off your margin account, or will the margin account not touch that money and you can reinvest the dividends? Or do they take the dividend automatically and now you have more money to invest from your margin account.
@youroptionsguy3444
@youroptionsguy3444 4 ай бұрын
Usually your brokerage is setup to automatically reinvest the dividens meaning you will buy more of the stock that pays you dividend thus increasing your total portfolio, but you should have the option to adjust that if you want dividens as cash and not re invest
@Blahblah268
@Blahblah268 4 ай бұрын
Thanks for explaining dude 👍
@MrJoeP-rc7ts
@MrJoeP-rc7ts 5 ай бұрын
Hey man, Merry Christmas!!! I have some questions since I'm trying to learn about margin. So from my understanding if I wanted to invest 8,000 in TSLA right now. With the Initial Requirement: 50%, I'd need about 4000 dollars before I could borrow an additional 4000 dollars from margin. Then I'd just have to make sure I'd stay above the 2,000 dollars since the Margin Maintenance for the position is 25% before I get margin called, right? In the event that happens would I need to deposit 2,000 in there to restore it back, right? (Assuming I don't calculate the 4,000 borrowed in which case it'd be about 6,000 owed, correct...I'm assuming you would just sell it back and come out with the remaining 2000 correct) Lastly, I might plan on splitting this across different stocks (MSFT, AAPL, COIN, etc) I'm assuming that you have to monitor each position, correct? (For example, say I put 2000 in cash and then 1000 in margin for MSFT while staying above 750 for the position, then something like 1000 in cash and 200 in margin for COIN while staying above like 300 for the position, etc.) Sorry for the silly questions. I only have a faint idea since I've only heard a little bit about it. (Most of the KZbin videos assume I'm trying to dump my entire margin in there and never focus on spreading it or using smaller amounts...) Thanks! I love your channel!
@skynet251
@skynet251 6 ай бұрын
So you cant pay what you borrowed in incremental payments like you would on a credit card?
@Ramrock325
@Ramrock325 9 ай бұрын
I believe you answered this in your video but i just wanted to verify...So say i dont own any stocks and i place 2k into buying power, doing so would satisfy the prerequisite to "turn on Margin ". Assuming im qualified for 2k margin, that would boost my buying power to 4k right? Then i could theoretically buy 2k in stocks and move the other 2k from buying power to bank account?
@youroptionsguy3444
@youroptionsguy3444 9 ай бұрын
I haven't checked the requirements for margin lately but yes, once you get whatever margin RH gives you then you can take it out to your own bank, you will then pay interest on whatever you use
@jairosambula3707
@jairosambula3707 9 ай бұрын
Great video, you gave a lot of important information about margin investing! Now I truly know that margin investing is not for me! Thank you for such an amazing informative video!👍
@terrance2405
@terrance2405 10 ай бұрын
Can I day trade on Robinhood if I put in 15k and use the 2x margin putting me at 30k which would be over the 25k pattern day-trading rule?? Ang great video thank you
@youroptionsguy3444
@youroptionsguy3444 10 ай бұрын
I believe yes as long as your portfolio sits above 25k end of trading day , but it's best to buy end of day and sell the next to avoid hitting this rule
@TheBallin24k
@TheBallin24k 11 ай бұрын
Hey i know your busy, but i have a question and theory hoping you can answer. If i use the margin for dividend stocks, that move mainly sideways. I can use the dividend to pay off the interest/principal? I just cant reinvest/drip the dividend. It would have to be used for the interest and principal
@youroptionsguy3444
@youroptionsguy3444 11 ай бұрын
Yes that's one way of paying of margin, depends on how much you take out though
@TheBallin24k
@TheBallin24k 11 ай бұрын
@youroptionsguy3444 for rite now I would try to keep it under a $1000 so I don't have to pay any interest. And truthfully if I do use more and accumulate interest I have enough dividends from 1 stock to cover the interest.....does that make sense🤔
@romeorain
@romeorain Жыл бұрын
Hi. Does adding money to your brokerage account lower the margin maintenance amount?
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
Yes, also if you close positions
@romeorain
@romeorain Жыл бұрын
@@youroptionsguy3444 Thanks. One other question. Can you roll your options like normal, when using margin?
@romeorain
@romeorain Жыл бұрын
@@youroptionsguy3444If you are not using any margin with options (prior to getting assigned ). Would you still be able to get margin called prior to that assignment of the stocks?
@romeorain
@romeorain Жыл бұрын
Does adding money to your brokerage account lower the margin maintenance amount?
@victormgv
@victormgv Жыл бұрын
Best video on Robinhood margin I’ve seen on KZbin! Exactly what I needed to send my cousin and actually shows the account changes . Thanks bruh!
@Kk-iw4ck
@Kk-iw4ck Жыл бұрын
How does it work with spreads ?
@Kk-iw4ck
@Kk-iw4ck Жыл бұрын
Great video and explanation !! Thank you !!
@Kk-iw4ck
@Kk-iw4ck Жыл бұрын
How do I sell spreads if I want to use my cash and not my margin money ?
@Kk-iw4ck
@Kk-iw4ck Жыл бұрын
Great explanations !
@kicuout
@kicuout Жыл бұрын
This aged well 🤣🤣🤣🤣
@JoshChase114
@JoshChase114 Жыл бұрын
For example if I have 20k of my money, am I borrow 6k margin will the pdt rule appply to me ?
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
Can you clarify the PDT rule
@JoshChase114
@JoshChase114 Жыл бұрын
Pattern day trade. If you have under 25k you can only do 3 day trades a week unless you switch to cash account. So Im wondering if I’m borrowing margin with my gold membership to get me over 25k I’m hoping that restriction won’t apply
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
According to RH, they look at your total portfolio value minus crypto, so if you have 22k in cash/stocks and use margin to increase above 25k you won't be flagged PDT as long as your portfolio is above 25k end of day. Also, incase you do get flagged first time there is a chance you can get it waved as long as you have a good explanation, I've been tagged PDT and asked RH support to remove it and they have.
@JoshChase114
@JoshChase114 Жыл бұрын
@@youroptionsguy3444 awesome Thank u !
@luism8471
@luism8471 Жыл бұрын
So basically, I can turn on margin. Lets say I buy some option calls with margin money. Make a nice profit on those calls and sell. Turn off margin and keep the profits? Or do I not get all the profits?
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
Yes exactly, you would only pay interest you acured, so if you turn on margin use money to buy calls, sell for a profit next day, you would only pay a small interest fee, usually it's less than a dollar a day of interest depending on how much you borrow
@luism8471
@luism8471 Жыл бұрын
So I did that and bought IWM on Margin and made $670 profit but when I turned off margin I did not show to have that much profit available to me. Only had like $400 or so
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
When you turn off margin your buying power also drops since you are giving back what you borrowed
@luism8471
@luism8471 Жыл бұрын
So I should just leave it on ?
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
It's up to you, each day you leave it on you acure interest
@Yvng__KG
@Yvng__KG Жыл бұрын
When u borrow with margin or Robinhood how do I pay the money back
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
RH will deduct monthly the same way they charge for gold membership they will also charge whatever interest you acured that month, you should be able to view the amount you acure daily so you know what to expect to pay
@jainayak666
@jainayak666 Жыл бұрын
Comprehensive. Just what I was looking for. Thanks! Question -- Say I have 100k in stocks, zero in Buying Power, and my margin maintenance is 35k. If I now borrow 5k to invest in stocks, barring a catastrophe that brings down my portfolio to below 35k, I should never get a margin call for borrowing such a small amount, right? I'd expect my portfolio value to hover around the 100k mark at any given time.
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
That is correct
@RealizesMex
@RealizesMex Жыл бұрын
So if I borrow 500 I do not have to pay any interest because that’s included with the Robin Hood gold package? I can borrow up to 1000 without paying any interest correct?
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
Yes that is correct based on Robinhood documentation, the first $1000 is intrest free, it is part of your monthly $5 gold fee
@RealizesMex
@RealizesMex Жыл бұрын
@@youroptionsguy3444 awesome, thanks I appreciate your video and response.
@Chinews773
@Chinews773 Жыл бұрын
Got 2 questions and would greatly appreciate if you can answer , great video btw, and I just subbed to u, Do you get charged interest if your money you borrowed is just sitting in your buying power? 2nd question can you get out of margin at anytime u want? I hope you can answer! Thanks
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
1. No, you get charged while using margin on settled transactions meaning you turn it on and have to buy something, turning on margin and having it sit as buying power won't be charged 2. You can get out anytime as long as u pay back what u borrowed, if you borrowed 5k and use it to buy stocks, you need to either deposit 5k or sell the stocks you bought worth 5k then you can turn off margin
@Chinews773
@Chinews773 Жыл бұрын
@@youroptionsguy3444 awesome thanks for the answers I'll be following you along lol. Hopefully u are one of the good KZbiners that's respond back (just like u did, awesome helping ur subs out! Thanks
@aamirjamal6833
@aamirjamal6833 Жыл бұрын
This is awesome. Didn't know that. Thanks. Just wanna make sure this still works the same way after a year of this video was uploaded right?
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
Yup
@EchadLevShtim
@EchadLevShtim Жыл бұрын
A lot of banks offer interest free lending. Thats what Ive been doing is taking the Available cash and paying it back over 3 months on autopay.
@dimagass7801
@dimagass7801 Жыл бұрын
How stupid of an idea is it to use the margin account for dividend investing?
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
Not stupid if you make money and know your risk
@dimagass7801
@dimagass7801 Жыл бұрын
@@youroptionsguy3444 completely different question but what's your opinion on $VF? But or pass?
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
Mainly stick with tech stuff but from the looks of it it's going downhill
@danielmolinari4299
@danielmolinari4299 Жыл бұрын
Nice video :). Thanks!
@rock-99
@rock-99 Жыл бұрын
Thanks bro. It was super helpful.
@TavinhoGodoy
@TavinhoGodoy Жыл бұрын
It seems like nowadays Robinhood does not allow to sell puts on margin... How is your portfolio going?
@randelldickerson6147
@randelldickerson6147 Жыл бұрын
Quick question I know you're not an adviser but I'm new to Robinhood small account and I was looking at the margin Borrowing that's why I'm here and I was thinking about maybe taking a 1000 bucks and putting it into Apple before it sells the new iPhone what do you think about that
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
Well apple is solid so long term sounds pretty good, short term kinda risky especially with everything being bad macro conditions
@user-wq3ko4gn9o
@user-wq3ko4gn9o Жыл бұрын
Were you able to find out what " Today's day trade limit" really is? Are there consequences if someone goes over that ?
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
Today's day trade limit is the max you can trade within that day, I don't think it's possible for you to go over that limit because RH wont let you trade above, but this is usually for extreme traders trading multiple times a day with lots of capital, the regular retail trader doesn't encounter this
@user-wq3ko4gn9o
@user-wq3ko4gn9o Жыл бұрын
​@@youroptionsguy3444 hypothetically, if a person has $25,000 in cash and $25,000 in margin will the person be able to day trade $50,000 as much as they want throughout the day without any penalties? Thank you for replying.
@youroptionsguy3444
@youroptionsguy3444 Жыл бұрын
No, there is a day trade limit, you have to go to your investing portfolio and RH will tell you your day trade limit
@jax3643
@jax3643 Жыл бұрын
Geez, why did it take so long to find this video. Super helpful!
@justincanada8017
@justincanada8017 2 жыл бұрын
Good video. Could play a drinking game taking a shot everytime you say "basically " lol
@androfits7929
@androfits7929 2 жыл бұрын
Thank you for this excellent video.
@jrolle2011
@jrolle2011 2 жыл бұрын
Thank goddness I found this video. I was freaking out!
@Change77712
@Change77712 2 жыл бұрын
Bro u still alive ?
@youroptionsguy3444
@youroptionsguy3444 2 жыл бұрын
Ya bro I am , I've been busy with my newborn ahah, what's up? I've been wanting to make a new vid but it's tough, market wise I have 1.5 btc and 32 eth, haven't been doing much else lately except holding, stocks have been bent over and rekt so hard it's sad to watch, I've been out of stocks forawhile thankfully, wbu?
@xavierdillon5366
@xavierdillon5366 2 жыл бұрын
No one says what happens when you get a margin call, and it take all of your buying power funds and you sell to cover the call, but what happens if the stocks go back up, are those funds given back or they get to keep it? If they get to keep it, then wow!!!
@youroptionsguy3444
@youroptionsguy3444 2 жыл бұрын
They keep it , so be careful lol
@jamesark9926
@jamesark9926 2 жыл бұрын
Can i payback with installnent,,,everymonth,,let say,,,i have a margin call $3,000... and will installnent them with $300.00,,, every month? Can i do that,,,?
@t58beare
@t58beare Жыл бұрын
You have 3 days then they liquidate all your positions to cover. If that's not enough you will have to deposit. Not sure how flexible they are with payments, but I believe it would be in best interest to pay it back as soon as possible. If you can't pay off your full margin with external funds, than don't borrow that amount. Be safe.
@Chris-iy3do
@Chris-iy3do 2 жыл бұрын
So hows it going?
@youroptionsguy3444
@youroptionsguy3444 2 жыл бұрын
Pretty good, still have a good amount of capital , stocks have been doing way worse than crypto IMO, hbu?
@MalikTheMessenger
@MalikTheMessenger 2 жыл бұрын
Bro you must be taking a beating right now. Content been quiet.
@youroptionsguy3444
@youroptionsguy3444 2 жыл бұрын
I've been all in on BTC/ETH , 1 btc 32 ETH, I recently became a father 🙂, have been busy doing that lately and taking time off stocks
@ellitous8340
@ellitous8340 2 жыл бұрын
Crap! After they issue margin call, they sell your stocks 2 h after the market opens. They don’t give you any time to settle. Shitty platform and they just are thieves.
@rexckd
@rexckd 2 жыл бұрын
A year later and still a helpful video, appreciate it and hope all trading is going well💪🏽
@rl_31123
@rl_31123 2 жыл бұрын
$20 today