Question

What are SogoTrade’s option trade commissions?

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Answer

Options Commission Schedule

Online $3.00 plus 70¢ per contract
Broker-Assisted Trade $27.00 plus 70¢ per contract

Sample Option Trade Commissions

5 Contracts $6.50
10 Contracts $10.00
25 Contracts $25.50
50 Contracts $38.00
Question

How do I add options trading to my account?

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Answer

If you didn’t apply for options trading when you first opened your account, you can do so now.

Complete the online options upgrade application. Or complete and mail the options application form.
Please complete all fields. If for a joint account, both account holders must complete all fields of the application and both must sign.

Send options application form to:

SogoTrade
50 Broad St. 12th Fl.
New York, NY 10004

You’ll receive a notification email, typically within 1 business day, once your upgrade application is approved.

Question

Where can I learn more about options trading?

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Answer

For information on options fundamentals and options trading, please visit our options education center.

You may also visit the Options Industry Council website , where you can sign up for online classes and view web casts as well as read online educational content.

Question

What are the options trading levels for margin accounts?

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Answer

Options Strategies Available:

Level 1 Covered calls
Level 2 Level 1 strategies plus long option positions

Level 3* All level 1 and 2 strategies plus spread option positions

* Margin account required. For Level 3 options, account is subject to a $5,000 initial equity minimum with a $2,000 maintenance requirement.

Level 4* All option positions

*Margin account required. For level 4 options, account is subject to a $30,000 initial equity minimum with a $25,000 maintenance requirement.

Question

What are the options trading levels for cash accounts?

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Answer

Options Strategies Available:

Level 1 Covered calls
Level 2 Level 1 strategies plus long option positions

Question

What determines the option trading level for which I can be approved?

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Answer

The determination of which options level is suitable for you is based on the financial and personal information provided on your options account application or options upgrade application.
There are four options levels—1 through 4.
Level 1 is suitable for the conservative options investors while level 4 is reserved for the most aggressive / risk tolerant option investors. Approval is based on our review and discretion and may be different from the option trading level requested.

Question

When will my deposited funds be available for trading options?

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Answer

Funds availability depends on the method of funds transfer.

Transfer 1 business day
ACH Electronic Transfer 7 business days after receipt of funds
Check deposit 10 business days after receipt of check
Question

What are the margin requirements for option trading?

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Answer

Funds availability depends on the method of funds transfer.

Level 1 $500 minimum initial equity requirement
  No additional margin requirements
Level 2 $500 minimum initial equity requirement
  No additional margin requirements
Level 3 Level 3 strategies require a margin account
  $5,000 initial equity requirement. $2000 equity maintenance requirement
Level 4 Level 4 strategies require a margin account
  $30,000 initial equity requirement $25,000 equity maintenance requirement
Question

What is SogoTrade’s options exercise policy?

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Answer

Customers that exercise a long option contract will pay the full aggregate exercise price provided for by the option contract. We will accept exercise instructions for same-day execution on business days prior to 4:30 p.m. EST for index option contracts, and prior to 4:30 p.m. EST for equity option contracts. On the business day preceding the expiration date for any particular option contract, we’ll accept exercise instructions until 5:00 p.m. EST.

To exercise an option, please contact customer support at (888) 818-7646 with your instructions.
There is a $15.00 charge for exercises and assignments.

Automatic Exercises:

All expiring equity and index options that are at least $0.01 In the Money (ITM) will be eligible for automatic exercises at expiration—after market close on the third Friday of every month—however, SogoTrade may or may not exercise your option automatically. We may need to contact you for further instructions. If we are unable to reach you, we may not be able to proceed with the exercise. In some instances, there may not be enough equity in the account to make full settlement on the terms of the option. In others, not all ITM options have economic value and their exercise would not be in your best financial interest.

Please see the OCC’s expiration calendar at:
http://www.optionsclearing.com/publications/xcal/xcal.jsp
There is a $15.00 charge for automatic exercises and assignments.

Do Not Exercise (Contrary Exercise) Instructions:

In order to prevent the exercise of an automatic option on expiration, please contact customer support at (888) 818 – 7646 and provide your instructions.

Exercise (Contrary Exercise) Instructions:
In order to prevent the expiry of a non-automatic option on expiration, please contact customer support at (888) 818 – 7646 and provide your instructions.

Question

What is SogoTrade’s option assignment policy?

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Answer

SogoTrade allocates the assignment of exercise notices among short positions according to an automated procedure. This procedure randomly selects from among all short option positions (including positions established on the date of assignment) those contracts that are subject to exercise.
All American-style short option positions are liable for assignment at any time. The assignment process may result in multiple partial assignment and/or multiple transactions to fulfill a single assignment, and a separate commission charge will apply to each partial assignment or transaction needed to complete an assignment.

Question

How much does SogoTrade charge for option exercises and assignments?

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Answer

There is a $15.00 charge for exercises and assignments.

Question

How do I remove options trading from my account?

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Answer

Call us at (888) 818-7646 and speak with a customer service representative.

Or

Write us a letter with the following information

1. Your account number
2. Your current options trading level
3. Statement that you would like to remove options trading from your account

Have all account owners sign the letter and mail to:

SogoTrade
50 Broad St. 12th Fl.
New York, NY 10004

We will send you an email notifying you that option trading has been removed from your account.