The "daily Call" From Option Alpha: Options Trading | Stock Options | Stock Trading | Trading Online

Hey everyone, Kirk here again and welcome back to the daily call. Today, we’re going to be talking about trading options in an IRA. I think the real quick synopsis around this just to answer this as quickly as possible really because we don’t need to really harp on it too, too much. But trading options in an IRA is definitely something you can do. You have to get broker approval to do it and that means just getting the required options level for brokers to be able to do it. Most of the time, they’ll allow most people at a level one or two which means you can trade some covered calls, some covered puts. But you do want to try to get those higher option approval levels that allow you to do spreads and even to do complex strategies, iron condors, iron butterflies. The thing with any IRA or retirement account is that most of it has to be risk-defined. You will probably never find a broker who will allow you to do naked trading, meaning a single short put option or a single short call option in an IRA or retiremen