4.1.8.1. Equity Options
For equity options, purchasers of calls and puts are not required to pay a margin deposit on the underlying asset, because options holders will only exercise the option if they can profit from it.
Writers of covered options also do not have to deposit a margin payment for the underlying stock. They do need to show that they own or have the means to acquire the underlying security.
However, writers of naked calls and puts will need to deposit additional margin. The amount of the margin deposit will vary, depending on how far the written option is in or out of the money. The basic margin requirement is 20% of the current value of the underlying asset. This amount may be reduced by the distance by which the current