Can an IRA hold Stock Options
A client wants to use the cash in his TIRA to purchase private compnay stock options. SInce he is leaving the firm, he must pay for the options or lose them. Is this permissilbe and what issues /actions does this raise?
A client wants to use the cash in his TIRA to purchase private compnay stock options. SInce he is leaving the firm, he must pay for the options or lose them. Is this permissilbe and what issues /actions does this raise?
Permalink Submitted by Alan Spross on Thu, 2012-02-23 17:24
While the extent of option holdings in an IRA can vary by the custodian with respect to put and call options, see the following with respect to ISOs and NQSOs:
http://www.stockoptionadvisors.com/isofaq/ira2.shtml