Cash Account Option Settlement?
Summary:
- The main problem reported by the user is confusion regarding the settlement period for options trading and how it relates to the balances shown in Active Trader Pro.
- Fidelity confirms that the correct settlement period for options is trade date plus one business day (T+1).
- The user is advised to refresh Active Trader Pro to ensure it accurately reflects their balances.
- Additionally, users can check their balances on Fidelity.com for clarity.
Here’s the full thread
So I have a cash account that I used to buy and sell options same day for profit. How long is settlement? Active Trader Pro says cash is settled already (same day) minus profit. But I thought settlement is trade day + 1.
Hey there, @Serva. Great question!
You’re correct that the settlement period for options is the trade date plus 1 business day (T+1). You may need to refresh Active Trader Pro (ATP) for it to accurately reflect your balances. You can also view your balances on Fidelity.com.
Please let us know if you have any other questions!
Options trading entails significant risk and is not appropriate for all investors. Certain complex options strategies carry additional risk. Before trading options, please read the Characteristics and Risks of Standardized Options (http://www.optionsclearing.com/about/publications/character-risks.jsp). Supporting documentation for any claims, if applicable, will be furnished upon request. 🟢