FAQ

Frequently Asked Questions

Clear answers to common questions, so you can trade and invest with confidence.
How can we help?

New Accounts

How long does it take to open an account?
Upon receipt of completed paperwork, accounts are typically opened within 24-48 hours.

Mail completed and signed account paperwork to: 
Investrade
Attn: New Accounts
950 Milwaukee Ave., Ste. 102
Glenview, IL 60025

There is no minimum to open an account. A minimum of $25,000 equity in any combination of U.S. Dollars and/or U.S. exchange traded securities is required for international accounts. New Accounts must be funded within 60 days of the account opening or the account may be closed.
Accounts may be funded by check, ACH, wire transfer, stock certificate or account transfer. Money orders, third party checks, credit card checks, home equity line checks and starter checks are not accepted. Some checks may require a 4 business day hold. Cashier’s checks must have the remitter’s name electronically printed directly on the check by the issuing bank. Wired funds are usually available upon our receipt of the funds. See our Account Funding page for more details.
Yes. The United States Department of the Treasury’s Office of Foreign Assets Control (“OFAC”) administers and enforces economic and trade sanctions based on US foreign policy and national security goals. To ensure compliance with all federal legislation and Anti-Money Laundering (“AML”) regulations, Investrade will not open any new accounts for customers that are a national, a citizen of or are residing in certain jurisdictions. View more information here.
When completing your account paperwork, include the Account Transfer Form and a copy of your most recent statement for the account you wish to transfer.
A full automated customer account transfer (ACAT) will typically take 5 to 7 business days. A non-ACAT (partial transfer) or manual transfer may take up to 3 weeks to complete.
U.S. clients may choose from Traditional, Rollover, Roth, Coverdell, SEP, Simple, Individual 401(k) and Profit-Sharing Plans.
Yes. We allow prudent trading of options in IRAs based on an investor’s individual suitability. Option trading in IRAs includes call buying, put buying, cash secured puts, spreads and covered calls. Naked put and naked call transactions are not permitted in IRAs. We reserve the right to determine what trading is suitable for an IRA.

Investrade is a division of Regal Securities, Inc., a member of the Securities Investor Protection Corporation (SIPC). Your account assets are covered by the SIPC, which protects customers of its members up to $500,000, with a limitation of $250,000 on claims for cash balances. Additionally, Hilltop Securities “HTS” has purchased Excess SIPC Insurance which covers the net equity of customer’s accounts up to an aggregate of $150 million from underwriting syndicates at Lloyd’s of London. The customer securities component, which restricts coverage with respect of any one customer, is a maximum of $25,000,000 with the aggregate coverage of cash set at $900,000. SIPC and Excess SIPC covers accounts of the member firm in the event of a member’s bankruptcy or insolvency. Coverage does not apply to losses due to market fluctuation or any decline in market value of your securities. For additional information regarding SIPC coverage, including a brochure, please contact SIPC at (202) 371-8300 or visit www.sipc.org.

The phrase “Non-Professional Subscriber” means any natural person who is neither: (a) registered or qualified in any capacity with the SEC, the Commodities Futures Trading Commission, any state securities agency, any securities exchange or association or any commodities or futures contract market or association; (b) engaged as an “investment advisor” as that term is defined in Section 201 (11) of the Investment Advisors Act of 1940 (whether or not registered or qualified under that Act; nor (c) employed by a bank or other organization exempt from registration under federal or state securities laws to perform functions that would require registration or qualification if such functions were performed for an organization not so exempt. The phrase “Professional Subscriber” means all other persons who do not meet the definition of Non-Professional Subscriber.

Platforms and Experiences

How do I get started with Investrade?
You can open an account online in just a few steps. Once your account is approved and funded, you can begin investing or trading using the platform or experience that best fits your needs. We also offer demo accounts for this wishing to try out our platforms before trading with real capital. Open a live account here, or a demo account here.
No. You don’t need to commit to a specific platform upfront. Your Investrade account gives you flexibility to access different trading experiences as your goals and needs evolve, or alternate among them.

Investrade offers multiple ways to engage with the markets. Investor is designed for long-term investing and portfolio management, while Pro supports more active trading workflows. TradingView is among the world’s most sophisticated charting and analysis environments. Investrade’s partnership with TradingView enables you to trade using your Investrade account directly within their platform.

Yes. Eligible clients can access multiple trading experiences with a single Investrade account, depending on their preferences and activity.
Both. Investrade supports long-term investing and more active trading, enabling you to approach the markets in the way that aligns with your goals and strategy.
No. TradingView is an optional experience. You can use Investrade’s own platforms independently, or choose to trade through TradingView if that environment fits your workflow.
That depends on how you prefer to engage with the markets. Some clients prioritize long-term portfolio oversight, others focus on active trading or chart-driven analysis. Investrade offers multiple experiences so you can choose what works best for you – or combine them over time.

Customer Service

How do I contact Customer Service?
You may call 1-800-498-7120 or email support@investrade.com (Mon. – Fri. 8:00 a.m. – 6:30 p.m. EST).
Mon. – Fri. 8:00 a.m. – 6:30 p.m. EST.

Investrade
Attn: Customer Service 
950 Milwaukee Ave., Ste. 102 
Glenview, IL 60025 

Money orders, third party checks, credit card checks, home equity line checks and starter checks are not accepted. Include an IRA Deposit Slip when making deposits into an IRA account.

Please make all checks payable to our clearing firm, Hilltop Securities, Inc. Include your account number in the memo line of the check. Important Note: Cashier’s checks must have the remitter’s name electronically printed directly on the check by the issuing bank. Money orders, third party checks, credit card checks, home equity line checks and starter checks are not accepted.
  1. On the back of the stock certificate, enter Hilltop Securities, Inc. as the attorney to transfer the stock.
  2. Each person registered on the stock certificate must sign the back exactly as printed on the front, including initials, suffix, etc. 
  3. Date the certificate. 
  4. In pencil, write your account number on the front of the certificate in the upper-righthand corner. 

Please mail the certificate(s) to:
Investrade
Attn: Customer Service
950 Milwaukee Ave., Ste. 102
Glenview, IL 60025

If you prefer, you may submit an Irrevocable Stock Power Form in place of completing the above information on the actual stock certificate. Please note you must still mail the stock certificate to Investrade for processing.

Important Note: Investrade does not accept for deposit or process restricted stock. 

See our Account Funding page for more details.

JPMorgan Chase Bank, N.A.
270 Park Avenue 
New York, NY 10017-2070 
ABA # 021000021
Hilltop Securities, Inc. 
Account: #08805076955 
FFC: (customer name & account number at Hilltop) 
Attention: Settlement Dept.

International
JPMorgan Chase Bank, N.A.
270 Park Avenue 
New York, NY 10017-2070 
ABA # 021000021 
Hilltop Securities, Inc. 
Account: #08805076955 
SWIFT Address: CHASUS33 
FFC: (customer name & account number at Hilltop) 
Attention: Settlement Dept.

THIRD PARTY WIRES WILL NOT BE ACCEPTED. FUNDS WILL BE RETURNED TO SENDER BY THE CLEARING FIRM AND FEES ASSESSED.

See our Account Funding page for more details.

Please submit the Domestic Wire Transfer request. If the wire request is for $50,000 or more, it must be notarized. Wires must be sent to same-titled accounts. No third-party wires may be processed. See our Account Funding page for more details.

No. We will not accept, deposit or process restricted stock under any circumstances. If we receive restricted stock, it will be returned to the sender.
Margin maintenance ranges from 30%-100% depending on the particular stocks in the account. See our Margin Trading page for more details.
“Pattern day traders” are defined as those customers who day trade (buy and sell the same position within the same trading day) four or more times in five business days. Click here for more information.
Customers outside North America can reach us at 1-847-375-6152. Contact Us for more information.

Trading

Do you offer extended hours trading?
Yes. Extended hours online trading is available from 8:00-9:28 a.m. EST for pre-market session and from 4:00-6:00 p.m. EST for post-market session. View our Knowledge Center for more information.
If your equity, the sum of all positions (except options) in the margin type and trade date balance is below $2,000, you must pay for your purchase in full and cannot go on margin. If you do not have the funds to pay for the purchase in full then you must deposit funds to satisfy the requirement. Otherwise, a liquidation to cover the debit and a 90-day restriction will apply. In another scenario, if you reduce your equity by buying option(s) which result in your equity falling under $2,000 with a debit balance, the debit must be covered with new funds. Otherwise, a liquidation to cover the debit and a 90-day restriction will be applied.
We offer spreads, combos, straddles/strangles, butterflies/condors, iron butterflies/iron condors and rollouts. Please note that you may not be approved for all of these strategies. Option rates apply to each leg of spread orders.
Other than retirement accounts, it is not recommended that you have multiple accounts under the same social security or tax ID. If you do have multiple accounts under the same social security or tax ID, the margin buying power and account value may be aggregated from all linked accounts and reflected in one account called the master account. Please contact us if you would like to select the master account of your choice or have additional questions.
Initial requirements for naked puts are 20% of CMV minus out-of-money amount or 10% of strike, whichever is greater, times the multiplier times the quantity. Maintenance requirements for naked puts are 20% of CMV minus out-of-money amount or 10% of strike, whichever is greater, times the multiplier times the quantity plus the market value of the option. Initial requirements for naked calls are 20% of CMV minus out-of-money amount or 10% of CMV, whichever is greater, times the multiplier times the quantity. Maintenance requirements for naked calls are 20% of CMV minus out-of-money amount or 10% of CMV, whichever is greater, times the multiplier times the quantity plus the market value of the option. See our Margin Trading page for more details.

The minimum equity requirements are as follows: 

  • Spreads: $2,000 
  • Naked Put Requirement: $25,000 
  • Naked Call Requirement: $100,000 
  • Naked Index Requirement: $500,000 


See our Margin Trading page for more details.

See our Margin Trading page for more details.  

Please be aware of the risk associated with call spreads and dividend payment. Only owners of the underlying stock are entitled to receive the dividend. Long call holders do not have the right to receive the dividend unless the call option is exercised and shares are in the account typically prior to the Ex-Dividend date. Customers that are short stock coming into Ex-Dividend date due to an assignment must pay the dividend. Below is an example where you can lose more money than what was originally calculated.

You have a 100 XYZ bear call spread 128 – 129. The maximum risk (outside of exercise or assignment) is the difference between the strikes which in this example is 1. But if you were assigned and short stock coming into the Ex-Dividend date you have to pay the dividend. If you are short 10,000 shares and the dividend rate is $0.56 per share, the risk is now $1 plus $0.56. In unfavorable market conditions moving against your strategy can lead to an unsecured debit.

Assignments can occur on any day prior to expiration and accounts are selected randomly. You, as the seller of the call option, are obligated to sell stock at the strike price.

Due to this risk of leaving an unsecured debit we may ask customers to close out of their spread prior to the Ex-Dividend date if you do not have the equity to pay the dividend in case of an assignment.

Expiring long and short option positions may be closed as early as 2:00 p.m. EST on the last trading day prior to expiration if you do not have the funds or buying power to buy or short the underlying security. We will allow customers to take action on their position until 3:30 p.m. EST, but you must contact us with your intentions. Please note that you may still get assigned even if a short option is out of the money. Therefore, if there is risk to the account, short options may be closed out even if it is out of the money. The firm may close out your positions without prior notice. We may also elect not to exercise or close the resulting stock position in the aftermarket hours on expiration day or pre-market the following business day.
No, we do not allow the entry of Pink Sheet or Bulletin Board stocks through our trading platform.

Investrade does not accept deposits of equity securities traded on the Pink Sheets or OTC Bulletin Board markets priced below $1.00. This policy encompasses but is not limited to the following methods:

1. Any form of physical certificate deposit through the SPS application (Securities Processing System), the Transit System (TNST) or via mail. 
2. DWAC (Deposit/Withdrawal at Custodian)
3. DRS (Direct Registration Services)
4. ACAT Transfer of Restricted Stock, except certain low-priced securities without any restrictive legend via ACAT.

Investrade reserves the right to reject any account that has a concentration of low-priced securities (penny stocks).

Bond trades must be placed with our bond desk. Call 1-800-498-7120.

GTC (Good Til Canceled) orders do not stay open indefinitely. Orders may be canceled due to corporate actions such as stock split or symbol change. Orders may be canceled after one year. Each venue will have a policy on how long orders are held. Therefore, orders may stay open longer than one year. Please contact the trade desk at 1-800-498-7120 for more information regarding order handling policy.

Calls are generally due in 3 business days after issuance. Due dates may be accelerated if concentration exists in the account. Exchange calls are due in 1 business day.

A Day Trade Call is issued when you complete a day trade in excess of your start-of-day buying power.  A day trade is defined as opening and closing the same security on the same trading day in that sequence.

For example, if you had $2,000 buying power at start of day, sell $8,000 ABC and then use the proceeds to buy $10,000 XYZ, and then sell XYZ all on the same day, you will be issued a day trade call of $8,000.

Calls will be based on the initial margin cost of the trade minus start-of-day excess. Day Trade Calls are required to be met with new funds within 3 business days or a 90-day closing-only restriction will be applied after the due date. Funds may post after the due date to end the restriction early. New funds must remain in the account for a minimum of 2 business days before they can be withdrawn.

Retirement accounts that are approved for spread and cash secured options trading can be flagged as a pattern day trader (PDT) if 4 or more day trades are executed within a rolling 5 business day period. As a PDT retirement account, the account must maintain $25,000 in account value start of day in order to enter opening transactions.

This exchange rule states: An account which places 390 option orders per day (equates to one order per minute of the regular session) on average for a calendar month is designated as a “professional customer.” This rule, adopted by the options exchanges, is designed to identify professional customers who compete with market makers that otherwise should not receive priority over retail customer orders.

The number of option orders is aggregated by all accounts held by one beneficial owner.  Additional monthly data charges may also be applied. Investrade does not support professional traders designated by the 390 Professional Orders rule.  Account restriction may be applied to those designated as a 390 professional option order trader.

Visit CBOE’s website to learn more about the 390 Professional Orders rule. 

Fully Paid Lending Program

What is Investrade’s Fully Paid Lending (FPL) Program?

Investrade’s Fully Paid Lending Program enables eligible clients to earn additional income by lending certain fully paid securities they already own. When demand exists in the securities lending market, Investrade’s clearing firm may borrow eligible shares and pay you income for the duration of the loan.

You retain full ownership of your securities and can sell them at any time. There are no fees to participate, no long-term commitments and income is credited to your account monthly. Participation is optional and can be ended at any time. See our Knowledge Center to learn more.

Fully paid and excess margin securities held in your enrolled account are eligible for lending through the FPL Program. A fully paid security is a security that has been completely paid for. An excess margin security is a security that has not been completely paid for, but that has a market value exceeding 140% of your margin debit balance to Investrade.
The FPL Program is available for traditional brokerage cash accounts and certain Individual Retirement Arrangement (IRA) accounts with a minimum account value of $50,000 at the time of enrollment that meet other applicable eligibility requirements.
You maintain economic ownership of any securities on loan and are subject to market risk with price fluctuations. Furthermore, you retain the ability to sell your shares at any time and receive the proceeds of such sale. It is important to note that selling a position on loan will result in the termination of the loan. Additionally, should you write a covered call on an underlying position while it is on loan, the loan will also be terminated.
No. You will not have proxy voting rights on loaned securities. During the term of the loan, you waive the right to vote, provide any consent or to take any similar action with respect to the loaned securities if the applicable record date or deadline falls during the term of the loan.
If a dividend is paid while securities are on loan, you will receive a substitute payment, or payment-in-lieu of the dividend, instead of receiving the actual dividend payment from the issuer. Payments-in-lieu may receive different tax treatment than a dividend payment from the issuer. Please consult your tax professional for more information about how this may impact your specific situation.
While your securities are on loan, they are not protected by Securities Investor Protection Corporation (SIPC) insurance. On the loan origination date, Hilltop Securities, our clearing firm, will deposit collateral in the form of cash equal to 102% of the market value of any shares that Hilltop Securities has borrowed. This collateral will be held at an independent custodian bank as outlined in the MSLA. The amount of the collateral posted will be adjusted daily (or “marked-to-market”) to reflect any changes in the loaned securities’ market value or a change in the number of shares borrowed by Hilltop Securities. The collateral pledged by Hilltop Securities to you for its loans under the FPL Program does not contribute to the market value of your account.
In general, positions that are considered “hard-to-borrow” are more likely to be selected for borrowing under the FPL Program. However, not all hard-to-borrow positions will carry the same demand.
No. Once you are enrolled, Hilltop Securities, our clearing firm, may borrow shares of any securities from your account at its discretion. Participation in the FPL Program does not guarantee that your shares will be borrowed or that you will earn income.
You will receive compensation in the form of a loan fee while the securities are on loan. Loan income will accrue daily and will be credited to your account on a monthly basis. The lending interest rate for a loan is market-driven and can fluctuate daily based on several factors, including but not limited to borrowing demand, market supply and short selling. Participation in the FPL Program does not guarantee that any portion of your shares will be borrowed or that you will earn income.
On the day a new loan is originated, Hilltop Securities, our clearing firm, will send you, via email, a Loan Origination Notification.
Hilltop Securities, our clearing firm, may borrow the securities in your enrolled account to satisfy delivery requirements resulting from short sales, to cover a short sale or fail to deliver, to satisfy customer possession and control requirements, to further on-lend the loaned securities to other broker-dealers and/or for any other permitted purpose.
Investrade may receive compensation in connection with the use of your loaned securities, including in association with lending your securities to other parties or facilitating the settlement of short sales.
The lending interest rates paid to you by Hilltop Securities, our clearing firm, for loans of securities are based on several factors, including but not limited to borrowing demand, the overall lendable supply of the security, short-selling and hedging interests and general market conditions.
Changing market conditions may necessitate a change in the lending rate.
Both you and Hilltop Securities, our clearing firm, may terminate loans at any time. Additionally, a loan will be terminated upon your sale of shares currently on loan, your writing of a covered call against shares that are on loan or your notification to Investrade that you are choosing to unenroll from the FPL Program. You may remove specific securities from the FPL Program by transferring the shares to another account that is not enrolled in the FPL Program or by choosing to unenroll from the FPL Program. Please contact our Customer Support desk to terminate your enrollment in the FPL program.
Please email instructions to our Customer Support team at support@investrade.com.

(a) Except as provided in paragraph (b), no member that is promoting a day-trading strategy, directly or indirectly, shall open an account for or on behalf of a non-institutional customer unless, prior to opening the account, the member has furnished to each customer, individually, in writing or electronically, the following disclosure statement:

You should consider the following points before engaging in a day-trading strategy. For purposes of this notice, a “day-trading strategy” means an overall trading strategy characterized by the regular transmission by a customer of intra-day orders to effect both purchase and sale transactions in the same security or securities.

Day trading can be extremely risky. Day trading generally is not appropriate for someone of limited resources and limited investment or trading experience and low risk tolerance. You should be prepared to lose all of the funds that you use for day trading. In particular, you should not fund day-trading activities with retirement savings, student loans, second mortgages, emergency funds, funds set aside for purposes such as education or home ownership, or funds required to meet your living expenses. Further, certain evidence indicates that an investment of less than $50,000 will significantly impair the ability of a day trader to make a profit. Of course, an investment of $50,000 or more will in no way guarantee success.

Be cautious of claims of large profits from day trading. You should be wary of advertisements or other statements that emphasize the potential for large profits in day trading. Day trading can also lead to large and immediate financial losses.

Day trading requires knowledge of securities markets. Day trading requires in-depth knowledge of the securities markets and trading techniques and strategies. In attempting to profit through day trading, you must compete with professional, licensed traders employed by securities firms. You should have appropriate experience before engaging in day trading.

Day trading requires knowledge of a firm’s operations. You should be familiar with a securities firm’s business practices, including the operation of the firm’s order execution systems and procedures. Under certain market conditions, you may find it difficult or impossible to liquidate a position quickly at a reasonable price. This can occur, for example, when the market for a stock suddenly drops, or if trading is halted due to recent news events or unusual trading activity. The more volatile a stock is, the greater the likelihood that problems may be encountered in executing a transaction. In addition to normal market risks, you may experience losses due to system failures.

Day trading will generate substantial commissions, even if the per trade cost is low. Day trading involves aggressive trading, and generally you will pay commissions on each trade. The total daily commissions that you pay on your trades will add to your losses or significantly reduce your earnings. For instance, assuming that a trade costs $16 and an average of 29 transactions are conducted per day, an investor would need to generate an annual profit of $111,360 just to cover commission expenses.

Day trading on margin or short selling may result in losses beyond your initial investment. When you day trade with funds borrowed from a firm or someone else, you can lose more than the funds you originally placed at risk. A decline in the value of the securities that are purchased may require you to provide additional funds to the firm to avoid the forced sale of those securities or other securities in your account. Short selling as part of your day-trading strategy also may lead to extraordinary losses, because you may have to purchase a stock at a very high price in order to cover a short position.

Potential Registration Requirements. Persons providing investment advice for others or managing securities accounts for others may need to register as either an “Investment Advisor” under the Investment Advisors Act of 1940 or as a “Broker” or “Dealer” under the Securities Exchange Act of 1934. Such activities may also trigger state registration requirements.

(b) In lieu of providing the disclosure statement specified in paragraph (a), a member that is promoting a day-trading strategy may provide to the customer, individually, in writing or electronically, prior to opening the account, an alternative disclosure statement, provided that:

  1. The alternative disclosure statement shall be substantially similar to the disclosure statement specified in paragraph (a); and
  2. The alternative disclosure statement shall be filed with the Association’s Advertising Department (Department) for review at least 10 days prior to use (or such shorter period as the Department may allow in particular circumstances) for approval and, if changes are recommended by the Association, shall be withheld from use until any changes specified by the Association have been made or, if expressly disapproved, until the alternative disclosure statement has been re-filed for, and has received, Association approval. The member must provide with each filing the anticipated date of first use.

Important Information for International Accounts

Investrade Discount Securities requires a low minimum initial requirement to open an International account. We accept unsolicited accounts from non-U.S. citizens from the following countries: Austria, Australia, Germany, Ireland, Luxembourg, Mexico, Netherlands, New Zealand, Singapore, South Africa, Switzerland and the United Kingdom (England, Northern Ireland, Scotland and Wales). Cash accounts can be opened with a minimum of $25,000.00 in any combination of US Dollars and/or US/foreign exchange traded securities. Some foreign securities may be ineligible. Cash accounts may only be approved to write covered calls and/or buy calls and puts. Please call 1-847-375-6152 for more information. New accounts must be funded within 30 days or the account will be closed.

International Clients may wire funds or may choose to transfer funds from a US based brokerage firm. Foreign stocks can be held and sold, and, Investrade Discount Securities can purchase some, but not all, foreign securities. All Investrade Discount Securities accounts deal in US dollars and are only based on cleared funds. Receipt of a wire transfer from a US affiliated bank constitutes “cleared funds”.

IMPORTANT INSTRUCTIONS: International applicants are required to complete and submit an original W-8BEN form, Foreign Account Questionnaire and provide a clear copy of their non-expired passport for identification. In addition, they are required to provide a clear copy of their current bank statement or utility bill to confirm the name and address on the account application.

Please mail the original documents along with the account application to:

Investrade
Attn: New Accounts Dept.
950 Milwaukee Ave. Ste. 102
Glenview, IL 60025