Replies to post #19330 on Innovation Pharmaceuticals Inc (IPIX)

[a1derfullife]

Drano;

I found that you are correct - apparently TD Ameritrade and IB will allow IRA's to be margin accounts, but will not allow leverage in these accounts, so there's little incentive to convert them to margin accounts.

A1

IRA Margin Account

[TOB]

The Interactive Brokers margin account is not like a typical margin account which lets you borrow.

What it allows is a few advantages over a straight cash account.

Let's say your CTIX shares are in a cash account and you sell shares, you have to then wait for them to settle before using that money to trade again. With the IB IRA margin account, you can use that money right away, so it is more like a secured loan.

You can also trade in multiple currencies and certain option spread combos that would not be possible in a regular IRA cash account.

But you don't get margin to borrow like a normal Reg T margin or portfolio margin account.


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