Hi so for a little bit of context I've been trading options for about a year now with an IBKR cash account holding about 10% of my portfolio. I have been doing some spreads and iron condors on SPX, calls and puts on SPY and VIX since these are the only strategies IBKR let's me do because of cash account an relatively small capital.
As my portfolio grows from my job and successful trades I would like to have access of doing some wheeling and stock options, however I don't like the idea of having to set cash aside for doing these trades. I would like to be able to have this 10% of my cash on some reliable ETFs/stocks like the rest of my portfolio and do these trading strategies with margin using 10% of my account as collateral.
The reasoning being that I know beating the market is hard therefore riding the market plus or minus the results of my trades. I see how using this margin strategy yields a similar amount of risk that I'm currently taking but with the added benefits of not having my cash set aside.
However I'm uncomfortable with the idea of borrowing money and afraid of the interest on the of margin. I would greatly appreciate to hear your advice on how to use margin and how to overcome this fear. TIA <3
Posted by Icarus7v