Achieve efficient broad market protection in one trade with SPX options' large notional value and unmatched liquidity - which can help minimize draw downs and increase risk adjusted returns. All while benefitting from cash settlement, potential tax advantages and extended trading hours.
*Under section 1256 of the Tax Code, profit and loss on transactions in certain exchange-traded options, including SPX, are entitled to be taxed at a rate equal to 60% long-term and 40% short-term capital gain or loss, provided that the investor involved and the strategy employed satisfy the criteria of the Tax Code. Investors should consult with their tax advisors to determine how the profit and loss on any particular option strategy will be taxed. Tax laws and regulations change from time to time and may be subject to varying interpretations.
Options involve risk and are not suitable for all investors. Prior to buying or selling an option, a person must receive a copy of Characteristics and Risks of Standardized Options. Copies are available from your broker or from The Options Clearing Corporation at www.theocc.com. The information on this website is provided solely for general education and information purposes. No statement within this website should be construed as a recommendation to buy or sell a security or to provide investment advice. Supporting documentation for any claims, comparisons or other technical data, will be supplied upon request.