Why No Covered Calls in ISA and SIPP?

[BabisG]

Hi,

I received a nonsense response when asking this by email so I will ask it here again and hopefully get more sense.

Why can we not write (sell) Covered Calls and Puts in our ISA and SIPP through IG? Is this a nanny state restriction or an IG one? Obviously there is no point telling me to open a CFD or Spread Betting account to do this because then my Calls would not be "Covered" would they?

Please IG if our corrupt nanny state does not disallow it could you enable Options (just for covered calls and puts would be fine) in ISAs and SIPPs and if not then would this be possible through an offshore account such as in Dubai? If yes to the latter then how do we do this? Do you have a link?

Thank you.

[gezmond]

UK government doesn't allow options trading in an ISA, however it is possible in a SIPP - the only way I am aware of is via an interactive brokers acct linked to a SIPP provider specialist (that allows options) eg atsipp.co.uk

[Interpiditious]

I too have been searching for a SIPP provider permitting options, since my previous one was closed down, for no proper reason. I have had no joy, either, with IB - they only provide 3 names, only one of which - OptionsPensions - is allowing them for portfolios > GBP500k. AtSipp and Westerby no longer do.  

Any one have any ideas?

[gezmond]

Hi BabisG, 

I forgot to mention that you can do a "synthetic" covered call using spread bet options , if you google poor mans covered calls and diagonal spreads....