Anything beyond level 2 options permission would require a margin account. This is due to the possibly large downside exposure you open yourself up to when writing naked calls or puts. In order to limit the broker's liability if the trade goes bad, your position is partially collateralized by the equities/cash you hold in your account, similar to shorting a stock or buying on margin. Best thing to do is just contact your broker and express that you'd like to get level 4 options permission. If you don't qualify they'll tell you why. Every broker has slightly different rules here.Mike
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