22nd Century Group Inc (XXII)

[Justfactsmam]

I would never advocate margining your portfolio to the hilt. Re-investing for leverage 10% or 20% of the marginable securities would be conservative and safe depending on the stability of the security.

Options are not automatically offered by CBOT, NYSE-AMEX Options etc.., upon uplisting. I would not expect options on XXII for at least 2-3 months, and ONLY if trading is brisk and over 1M shares daily.

And longer term options is an alternative, if you know what you are doing...

For Novice in this area, who have never imbibed, options usually expire worthless...ie you lose you investment in them...BUT ...they limit your exposure which occurs with margin and IMHO buying a PUT(betting that the stock will go down) is the ONLY way to go Short on an issuance. You know your downside risk in case you get caught in a short squeeze. BB stocks never have options, so you cant buy a PUT the typical POS.

So you could be more aggressive with options, as long as you are willing to lose what you put on the table.

In my younger days (and for 10 years)...I daytraded options and experienced the good and the bad ....made a fortune and lost a fortune...

IMHO...They have their place in an investment portfolio, as an alternative to (even with a small exposure with) margin, but not the tax postponement of conservative margin.