Can you day trade with Roth IRA account just like the regular stock market platforms?
- 4 weeks ago
Aside from everyone who has said that this is a bad idea (because it is), be advised that you absolutely cannot margin trade with an IRA account. Borrowing against an IRA is a "prohibited transaction" and the IRS treats it as if you withdrew the entire IRA at the beginning of the year, with a penalty.
- tiescoreLv 64 weeks ago
Can you usually. Should you, no.
- zman492Lv 74 weeks ago
As far as I know, that are not any brokers that allow a margin account in any kind of IRA. Without a margin account you are limited to the restriction that apply to a cash account. That prevents you from doing enough day trading to be classified as a position day trader. You are also constrained by the free-riding rule.
Unless you find a broker that will allow you to have a margin account in a Roth IRA you are limited to doing a minimal amount of day trading in the account.
- kswck2Lv 74 weeks ago
It appears that you can, but why would you, since the purpose of a Roth is for long term investments for retiring?
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- Coffee DrinkerLv 74 weeks ago
The federal tax laws that control Roth IRA accounts don't prohibit it. But most brokers either have fee structures designed to discourage it, or they outright prohibit it.
Seems like a google search for "day trading Roth accounts" would be the first place a person would start if they wanted to piss their money away trying to do this.
- The Old GuyLv 64 weeks ago
Yes you can day trade in a ROTH account.
What the hell is regular stock platform ?? All equity orders are entered on the same platform, there is no such think as "stock market platform"
- BillLv 64 weeks ago
I have a Roth IRA account with Fidelity. I can trade stocks in it but I tend to stick with low cost mutual funds because I am in for the long haul.
- A HunchLv 74 weeks ago
It wouldn't be very smart.