Is there any way you can accommodate higher margin eg., 4x (or even 3x) for purely long/short strategies. I know this may be a big ask, but if a portfolio is always near fully hedged with equal long and short dollar positions, then surely using some margin is the norm.
Example: If I am long my 5 stocks total value $50k, and I am short SPY or IWM $50k (t hedge the five long stocks), then in my brokerage account I am trading 2x on both. So, with a $50k cash balance, I am buying 100k worth of stock and 100k short SPY. Total margin is 4x.
Because of the pure 1:1 dollar-neutral hedge, brokers also offer portfolio-margin, as they absolutely see the lower risk point of a true hedged position.
To launch these [very successful] strategies on C2, it would be essential to be able to provide the 4x margin performance level, which mirrors my own trading.
Is there any possible solution to this you can suggest, before I launch (all stock traded in the strategy would be S&P500 constituents)?
One suggestion - just thinking out loud - might be to keep stocks at 2x as they are, but perhaps offer 4x on the major (non leveraged, ie., not ultra) ETF’s such as SPY, SH, IWM, RWM.
Also quick Q: What are the margin requirements by C2 for trading UPRO, or SSO (leveraged ETF’s based on S&P500)?