BP

ZettyGreen

You've touched on it, that everyone's definition of ethical varies, and yours and your fund manager, whoever you pick may start out similar, but eventually diverge. You can keep trying to find ones you identify with, playing a never-ending game of, does this new organization agree enough with my values? Me, I'm don't think it helps any. I just invest in the entire market and let the market sort it out. I don't play favourites. I just own everything. Then with my earnings, I can use that to facilitate change in things that *I* care about. Let's' say you are against BP(a huge petrochemical company) so you go out of your way to not own BP any money. If enough people do this, that makes their stock worth less, which means the people that do own BP will probably end up with an excess return, since they got the stock at a discount to what the company was worth. Probably not what you were going for. Also, when you buy BP stock, you aren't giving BP any more money, you are buying it from someone who is already a BP shareholder. BP only got the money during the IPO or other fairly rare events(like issuing more stock). The way to hurt BP is to make their cost of debt cost more. That's not something you personally can do, but if enough people stop willing to buy their bond issues, the cost of money for them to go drill a new well(or whatever) will go up. So owning or not owning their equities won't hurt BP any at all. Raising their cost of bond issues will though.

ben0919

Stop trading if you can't distinguish between a BP monitor and a HR monitor.

biddilybong

Should do a 50 BP raise

vegasoptions666

They all include a heart rate measurement with the BP readings.

biddilybong

They should do a 50 BP move higher and end this bs

ContactInfinite1632

calls on Shell Exon and BP

Firm-Reason9324

I yolo my entire BP in calls for this week that's what happened

Sharaku_US

Pretty good. Bought a bunch of far OTM call spreads first thing in the morning and netted about 1% from the BP. A few hundred bucks is a few hundred more than I had on Friday. My stock and ETM holdings, not so great but those are about 25% of my account only.

Affectionate-Idea690

BP cuts over 100 staff in electric vehicles charging unit - Reuters

Doughnutpower

I’m conflicted. I don’t want people to die if Israel responds, but I do have around 100 calls on BP, SHEL, and OXY I want to moon.

florentp

$XOM 123C 4/19 $BP 39.5C 4/19 $RTX 104C 4/19 

aqq677

Hello people, So to be honest I've never invested in anything other than some crypto's and s&p 500. I've been following the iran/Israel conflict that is unfolding at the moment and had the idea to go invest a bit of money (about 1 - 2g's) into stocks of companies like Shell, Chevron and BP when the market opens on Monday morning, hoping for a quick 10 - 20% ROI by next Friday. Is this something that you guys recommend me to do or is this a stupid action to undertake? Thanks for the advice!

diprivan69

Just to be clear Israel attacked the Iranian embassy. I’m not saying Iran is free of guilt, but they aren’t the first to strike. The only proof of Irans involvement in the Oct 7th attack are some “secret letters” that were found. Regardless it’s maybe a good time to buy some war related stocks and oil. Rtx, lmt, maxr, Noc. BP, chevron and Exxon provides oil to Israel.

X-is-better-than-u

I bought calls on BP last week, I figured oil prices will shoot up.

First0fOne

Oxy is not the only one. BP Xom xle gdx nem are 5 I am in. Took some profit already from xom and bp.

Sharaku_US

Depends on your goals I guess? I mean the regards on WSB often show off their huge wins so it's not impossible but that's akin to gambling. I found Tom King's conservative approach to option trading to be well designed, and I'm perfectly ok making 2-3% on my BP per week, and each option I trade is never more than 2% of my holdings if it tanks. I got lucky this week 100% of my sold spreads expired worthless, which is exactly what I wanted, and while I made only 4 or 5 bucks on each contract if you added all the contracts up it was a nice gain. Small and steady.

PuzzleheadedOffer749

read my mind, buying BP calls market open

Odd-Shallot-6816

You have more remaining BP than I have in my Roth. Don't give up

PapaCharlie9

Yes, there is risk, as explained in the notification. You will pay higher daily borrow fees if you end up assigned short shares. You should also check the reserved margin (buying power reduction) for the short call. Typically HTB status increases the BP reduction, usually to 100% of the assignment value. For calls on underlyings that are not HTB status, you can get away with only 20% of the assignment value, give or take. So for example if you shorted the $100 call, if the shares are not HTB, you may only have $2000 of BP reduced, while for HTB shares you'd have $10,000 of BP reduced. The margin reserve varies for certain types of spreads, but I don't think those exceptions apply to a diagonal. I could be wrong, though.

mlt-

Sell far OTM many DTE puts on /ES. It takes way less BP.

aquafina6969

I would add some money in BP (wait for the dip). They’ve been earning me decent dividends. Just set it to auto invest dividends to it and either add to it ever chance you get and forget about it… or spend it all on hookers and blow.

ErictheAgnostic

Lol. No, there isn't. People who think like you got us here. At a certain there is just going to be a cost for doing business. They tried off-shoring, migrant labor, and now it's "AI" is just a cycle of stupid. The idea that you can "always cut costs" is moronic. It's like saying "you could always eat less to save money"...and just like that scenario you come to a point to where your health is impacted i.e. BP, Boeing, etc

Unique_Name_2

Perfect, thats exactly my BP with margin. Now just pray that we dont dip another penny or im dead. OP the risk is being in hundreds of conrtracts comes frok a day like yesterday. Im sure 0dte calls basically evaporated.

schifferay

Thanks my man! Follow up on #3, so you think exercising is the safer play here? Do you foresee volume picking up as we go? Or do you think we will have this problem when there’s just not enough BP to exercise? I am on RH I feel like they have a sell to cover thingy, I will look into it.

schifferay

OP thank you for the in depth DD. I work in Oil and Gas and I am very bullish. I originally got into the PAA calls on 3/29, and today I bought some more Aug 24 and Jan 26 calls while they are dipping. Holding these until end of summer and beyond for sure. I have some general questions I wonder if you wouldn’t mind helping me understand: 1. If we decide to exercise, then we loose the premium, correct? The stock price needs to be above break even for us to actually make money? 2. If we don’t have the BP to exercise then what happens? 3. The volume is low on stocks like this. With MMs actively buying low when we try to sell high, how can we be sure to have people buy our options when we want to sell? Especially when the we are selling near the peak.

PapaCharlie9

That's generally correct, although it's not always 20%, that's the minimum -- it can be more, and you also have to be approved to trade leveraged short puts. If you can only trade cash-secured puts, it would cost double the BP of buying shares on margin.

BothBasis9

I think I make take a break from NVDA weeklies. Had stress shits all morning waiting to sell my calls from yesterday at a fat loss....instead sold them up 60%. Like dating a BP red head with daddy issues. Big emotional swings.

Venusflytraphands

Does this have anything to do with the fact that the American major petroleum companies are doing well and making big moves in areas like the Permian. It seems like both shell and BP have made some decisions in the past to pull out of these prolific basins and are now behind trying to figure out how to get back in.

Live_Studio_Emu

The FTSE100, the UK’s equivalent to the S&P500, is broadly made up of internationally-focussed companies that don’t really see a massive impact from the UK economy itself. Companies like British American Tobacco, Diageo, BP etc make so much outside the UK that the economy isn’t a large part of the equation. ARM listed in the US, Flutter did the same, and there are rumblings from other companies as well. The UK has a lot of investor friendly policies and retirement account options, but these have no requirements for domestic investment requirements. You can use a tax-free investment account and pension savings to go purely in US funds and stocks, which is broadly what happens. When the UK investment scene itself isn’t investing in the UK that much, who else will. I think the UK is quite uniquely high in not having investors, large or small scale, investing much in it. I’d advise keeping up-to-date with news around making our quite good tax efficient investment options and retirement funds have UK minimum investment levels to address the risks to stock market delistings. This has been a talking point for both main parties recently, and policies may follow that will lead to greater inflow to UK stocks than recently, which in turn would give a price boost across the board. I think this might be partially why Shell mention 2025 here - it’s after the next election, and will give an indication of if that side gets policy movement. I hold quite a few FTSE100 companies - best case policies lead to inflows that raise the whole sea, worst case there isn’t really much further they can fall and others may come around to that underpriced view sooner than later too.

HoustonAdventure

US is more business friendly towards energy companies. Compare the PE: Shell 8.3x, BP 7.6x to Exxon 12.8x.

PapaCharlie9

That's actually up to you. There are various ways to do this, so you can choose the one you want. * Most Conservative: Use the worst-case loss. Figure out how much you can lose in the worst-case situation, like expiration with the stock price between the strikes of your put wing, so that you get assigned on the short put while the long put expires worthless and you end up having to buy shares at the strike of the short. * Moderate (what most people use): The buying power reduction of the spread. For an IC, this is the spread width of one wing (assuming they are symmetric). So if you have a 100/105/120/125 IC, the wing spans are $5 wide, so you'd have a $500 reduction in buying power. The credit may or may not discount that reduction. * Optimisitic: Use the risk-managed loss limit you plan to use for the trade. Like if you've set up a stop loss on the trade that would get you out for no more than a $200 loss on a $500 BP reduction (same IC as above), you would use $200 instead of $500.

wsb-legatus-goodman

* [BP Sees 1Q Upstream Output Higher on Quarter](https://www.marketwatch.com/story/bp-sees-1q-upstream-output-higher-on-quarter-a6f24426) * [Biden to meet Japan’s PM Kishida amid shared concerns about China and differences on US Steel deal](https://apnews.com/article/biden-kishida-japan-white-house-f72d7162f0bd20c42e096c25e4b845c0) * [Tesla settles lawsuit over man’s death in a crash involving its semi-autonomous driving software](https://apnews.com/article/tesla-autopilot-lawsuit-settlement-f4c19ce05e17669de212fc262265e351)

ron_leflore

These companies think of themselves as Energy companies, not petroleum companies. In fact, if you want a realistic picture of how energy will shift from petroleum to wind/solar/etc, just read the BP energy outlook report they put out every year https://www.bp.com/en/global/corporate/energy-economics/energy-outlook.html

Fikkafikation

So, I have around 15 calls and $1k in it for 5/17. I jumped in without doing my own DD, so that's on me. But nevertheless... Things that I dislike: Too much bullish attitude, from the CEO to the shareholders to the extent I've seen youtube videos suggesting one should invest 100% in PLTR for retirement. Really bad advice imo. There is a feel that having an anti stance towards PLTR suggests being unpatriotic. Might be my misconception but that's what a free country entails - having your own opinion. Things that I like: I think the business model of trialware is great and has lots of potential. It's one of the very few companies where I see AI being used as intended and not a gimmick. People are concerned about privacy while surrendering to Google to read their email, serve FB their most intimate info and secrets, let YouTube geo-locate you as they please, Amazon to suddenly start showing ads on top of my Prime membership. I'm not saying we should, I'm saying I chose to in order to use their services and I'm ok with it. Do note I didn't include services like Ring etc. who were invading privacy until they got caught. Do I mind getting my face scanned on the highway by one of the automated toll booths if the needs arises ? Nope, it's a public place anyone can record as per the constitution. Just an example of the point I was driving. Companies like BP are benefitting which in turn helps them get to carbon neutral. Isn't that a win-win for everyone ? Now with their partnership with Oracle, hopefully deploying would make it more seamless and shorten the turn around time. From 9/11 to World Central Kitchen, it's not that the data was not there. We know that it was either not shared between services effectively or tagged or communicated. While we might never know if the new AI tech will remedy this - I sure hope so and that is definitely something I can get behind.

Sharaku_US

That's less than 2% ROI on your cash for 3+ months, not a great return. Might as well sell weekly credit call or put spreads with 2% ROI on your BP.

RockinRobin-69

I thought that for a long time, but … US oil consumption was at a maximum in [2005.](https://www.ceicdata.com/en/indicator/united-states/oil-consumption) It was 20,500 barrels/day and it was 19,140 in 2022. Not as surprising we use less gas than 2019. Work from home and EVs have caused the gas plateau. I’m not sure what caused the drop in oil. It’s such a weird stat that I have to look it up every time I use it to make sure. It’s like coal use dropping significantly under Trump or oil production being more than any country has ever produced under Biden. BP went too early with Beyond Petroleum. Shell might be playing the curve appropriately with their current forays into renewables and charge networks. I think Exxon is the Toyota of this fight. They are raking it in and doing well, but don’t have much of a backup plan. But Toyota is making small moves in EVs and Exxon partnered with a carbon capture company. McKinsey ran a bunch on scenarios and they all show peak oil demand by [2030](https://www.mckinsey.com/industries/oil-and-gas/our-insights/global-energy-perspective-2023-oil-outlook). So gas powered cars are going to be on the roads through the 40’s at least. Saudi will work to keep prices up for as long as they can. However oil companies make money on massive economies of scale. I don’t think they have much to be afraid of this year or next, but even they know demand destruction is coming.

DinobotsGacha

BP and Shell already have EV solutions

MeepleMerson

Some of the petroleum companies are already investing in alternative energy. BP is investing in EV Charging infrastructure, wind, solar, hydrogen, biofuels. They'll just be energy companies. I can see some getting into minerals for power cells and batteries too. They'll do just fine. I think petrochemical consumption, particularly in the USA and India, will be fairly steady for decades while it falls in much of the rest of the world. We use petrochemicals for plastics today, but mostly because there's a lot of waste products from refining that are cheap to make into plastic, but we have ways to make plastic from a broad array of other sources. I'm not sure we'll see and inversion where plastic is the primary product and fuels are secondary, though.

jelhmb48

Same reason BP is still around after Deepwater Horizon, Dow Chemical after Bhopal and German companies after WW2

super_natural_bc

>and for oil and gasoline drops (which is still probably 7–10 years away), what do you think will happen to these stocks (like Shell, Suncor, Exxon, BP, Chevron, and other small midcaps, etc.) 5 years from now? > >Is it a good plan to slowly pull out of these stocks? In a year? 3 years? 5 years?  They don't have the perfect real estate. Chargers are more effective at places like shopping malls and around restaurants. They can be a value-add that draws people to existing businesses. Most people charge at home and are only using chargers on road trips.

Pierson230

Even if that happens, they will sell more natural gas to the power plants that power the EVs. Also, these big energy companies have electrification teams assisting grids to expand all across the country. They do have some operational diversity. What’s the pivot? Too big for the layperson to effectively process, too many variables. Will BP kick ass at joint electrification ventures? What will EV adoption actually be? Who knows.

PapaCharlie9

> At first I was doing shorter 2-7 DTE on SPX, but found I don't like being so close to ITM I think you left something out of that sentence? Because it doesn't make sense as written. ITM is about moneyness, DTE is about time. > What is the most efficient way I can keep doing what I'm doing? I like credit spreads, I understand them really well now. Or is there a better way? I can't use SPX, but I was thinking XSP. Or should I look at futures, which I don't understand nearly as well as SPX? I know I'm going to make a lot less. You gotta trade within your means. If you have to downsize from 170k of equity to 7k of cash, your trades will also have to downsize. Since XSP is 1/10th of SPX but your buying power is on the order of 1/100th, I don't think XSP is going to work for you. Besides, liquidity of XSP is pretty bad. You'll just have to save some of your job earnings and build your BP back up. You won't have to wait to long. I'm comfortable trading 45 DTE XSP ICs with around 25k. You could probably get away with half that, with higher risk of ruin.

hgreenblatt

Rookie, traders do not do Cash Secured Puts , when selling Puts in QQQ. The margin account BP for selling a 429 QQQ is 8k, I guess a cash account has to have 42,900, which is the REASON TRADERS USE MARGIN ACCOUNTS. No clue where your delta of .03 comes from. However NDX 17650 does have a delta 28 (.28 for rookies). Your trade of May3 NDX 17650/17250 has margin of 40k. You would know this if you actually every traded the NDX, or even had a trading platform. If you did a 429/420 QQQ (similar Delta's) any legit brokerage would hold $900. Pretty sure this is true for a Cash account but not having one can not confirm.

tuthegreat

Anyone remember BP oilspill?

PapaCharlie9

Is there a question you wanted to ask? Were you not expecting the reduction in BP, even though you know that PM uses a weighted-risk calculation for collateral?

UF93

Just got approved for portfolio margin, but my buying power went down. I get that PM uses a porftolio-based approach, but the drop was much bigger than I anticipated given that i mostly hold VOO/Bluechips and some treasuries. One thing to note is that at the same time, my buying power reductions for my naked puts also went down (e.g., -$8000 became -$5000). Reg-T Margin BP: $300k PM BP: $150k

EscapeWendys

BP? I don't want to flex my Blood Pressure. It's high, and near hypertension- that's not good. **For me** this is a YOLO, but I suppose it depends on who you ask. You are welcome to make posts here too, that are more towards your risk appetite if you'd like. I see some people buying 300k of Google Calls 4 DTE and I think that can easily send you to the shadow realm. I'm trying to escape Wendy's like my username implies, not fall further in the dumpster. 

august_laurent

my thoughts exactly. meh, OP lowkey just wanted to flex his BP

Fit-Cellist6804

Out of BP for today, time to go to work lmao

SS324

Keep in mind Peltz critcized BP for having an all black cast and that film grossed 1.3B.

billyd1984texas

I only sold my DVN shares kept XOM, FANG and BP

daddyslimane

Yes! The $13k of BP is going into $AMD and $TSM positions throughout the week.

hgreenblatt

Archie was very nice, but I think you are a little lost. Let me show you a picture from a modern trading platform (like the last 20 years). I hope it gives you a better insight into margin call (not assignment). It gives the price of the stock on the left and the margin(BP) on the right. https://app.screencast.com/DV5dSg50C64b9 If you get assigned then you either got money and are short the stock, or long the stock and are overdrawn. If long the stock you sell it, and lose the price difference between the strike price you got paid and the current price. Short stock you buy it using your money and the strike price you got.

joer1973

And there are more times a stock goes from up 30% back down or negative. I look at alot of stuff and if it's up 30% already in past month or 2, I feel it's probably a missed opportunity. If a stock is near its 52 week low and I really like the company, I'll buy long options. If I am right, I sell some of options and use money to exercise the rest. It worked well when oil went negative. I ended up owning BP at an real average cost of $4 a share. (Money I had to put in besides the gain on options I sold). Much better oppritunies exist than chasing gains.

Kaymish_

Energy companies. The likes of ExxonMobil BP Shell Chevron petrobras and cohorts.

dukerustfield

Oof, I think you provided a little too much data. I know people usually get yelled at for not providing enough. But we’re not portfolio managers. I know you’re high on BP, I worked for Arco when it got bought out by BP. They tend to dump oil now and then. They got massive pension liabilities, because they own all the liabilities of every company they bought. And when they bought Arco, they bought Richfield, Atlantic, Sinclair oil, Anaconda mining, and about 10,000 other companies and they own all their legal liabilities as well. Like anaconda smelter And telephone pole treating plants where they would just dump the oil in the ground. Just in this company they’re involved in a lot of super fund sites. But look at their return over 5-10 years. It’s not good. And you’re at the point when governments are making a massive push to get on to anything else. I just think there’s much safer and much better companies to get dividends from. And this is coming from someone who worked there. I also think you’re overestimating how much you get from dividends. I think most people do. If you’ve got a beefy pension. Or some other massive source of income then it’s fine. But I think you’d be better off just going more growth oriented and then either shifting to yields and dividends as you get older, or some such. The dividends yields buying shares is also not of any importance at all. so you buy a few shares every quarter. Big deal. You’re giving up growth just for that? If you grew your entire portfolio 11%, but didn’t have the dividends, vs you grow it 3% and do have the dividends, you’re gonna come out way ahead with the growth. And this isn’t speculation on my part you can do the math. Take your BP. take 10 years of it. Match it up against some basic ETF like VOO or VTI. BP over 10 years you’d **lose** 22%. But would’ve gained from dividends. VTI over 10 years you would’ve gained 169% and about a third the dividends of BP. That’s a slam dunk no contest. People really like the idea of dividends and just passive money coming in. But there’s a almost universal misconception of how much money that really is. It’s not a lot.

papakong88

The concept of using index options to generate income is not unique. It is used by covered call ETFs that pays a high rate of dividends. For example, XYLD owns all 500 stocks in the S&P 500 index but sells only SPX calls. QYLD sells NDX calls and RYLD sells RUT calls. All option strategies have risk. We have to plan to mitigate the risk. First, we do a worst case scenario evaluation. Each person has his own perception of worst case. My worst case is when the put becomes ITM. When the puts become ITM, the margin required increases while the BP decreases. So we will analyze how much margin is required if the put becomes ITM. (Each broker has different requirement.) Sell 4870 put for 5.50. NDX is at 5254. The initial MR of the put is 50 K. It increases to 125 K if put becomes ITM. When the put becomes ITM, NDX has dropped 7.5%. Assuming BP has also dropped 7.5% to 278 K means the account can support 2 puts. Next, we look at delta. The 4870 put has a delta of 0.05. It is 7.5% OTM and sells for 5.40. If we lower the delta to 0.04 and sell the 4820 put for 4.55. The put is 8% OTM. Is the return acceptable for the extra safety? (I use 0.04 delta.) Finally, the exit strategy. The puts have very low delta. My exit strategy is simply to roll out. These are naked puts so it can always roll out for a credit. I rolled out of the pandemic months.

papakong88

Do not sell CC on META because you have a low cost basis. You have 875 shares of META worth 425K. It has an option buying power of 300 K. You can use this BP as collateral to sell index option. A SPX 5000 strike put has a notional value of 500 K and requires collateral of 50 K. The Apr 26 4870 put can be sold for 5.50. So the rate of return is 5.50 x 100/50000 x 100 = 1.1% for 30 days. (How does this compare to writing CC on META?) Delta of put is 0.05, so there is very low probability of assignment. However, assignment is settled in cash. The gain of 5.50 is taxed as 40% short term and 60% long term. You need a margin account and approved to do naked index options.

orlandoaustin

I think you've misinterpretted how energy companies and utility companys differ with their cap. Your approach is like treating McDonalds as a hospitality company rather than a real estate company. If a recession hit... Southern Co and National Grid would be a good stable bet with a dividend. BP and Exxon is held by many pension funds and asset funds.

orlandoaustin

I've been saying this for years. Imagine not being taxed by BP or Norsk Hydro every time you go to the pump. Its not going to happen.

Banking_on_counflips

This. If you don’t have enough BP, your brokerage auto sells your contact to a MM.

RhettOracle

I didn't say there wasn't anything political in the movie, I said it wasn't "considered political". The box office agreed. But everyone draws their own line somewhere. I was actually thinking more of the first movie Civil War where BP appeared. But since the protagonists opposed Killmonger, it's not quite the anti-white screed you make it out to be. The bad guy was the crazy black revolutionary, he wasn't held up as a hero in the movie, he was put down. More evidence that the mere presence of a black actor is not necessarily viewed as political, but I suppose it was for you. I think most people have a bit higher bar. I didn't see the second BP movie. By that time, I was done with Marvel messaging. He then opened up schools that would be blasted as DEI today for teaching Critical Race Theory Nonsense. Educating inner city youth, or bringing advanced tech to the world, has nothing to do with DEI. There was absolutely no racist overtones in opening up the outreach centers. But that you perceive it that way in retrospect, shows the impact these activist themes in some movies has had on sensitivity to political messages.

orlandoaustin

Exxon, BP, National Grid, Southern Co. If Trump get elected expect 5% gain min.

antirheumaticMalta

Alright, good luck! BTW if you or anyone else is interested in what I think is really going on with VHAI, feel free to DM me -- there are certain things that I don't want to say in public for legal reasons. (Hint: BP = EH)

bdog2975

U/option u/yorggIM How have things been going for you gents? I still think this strategy is the answer long term but isn't worth it for me at the moment. Opening positions while VIX is this low means premiums will be low and the position will take longer to close out when it starts rising again My BP is better spent elsewhere. I closed out the one position I had open about a week ago and have been trading 0DTE credit spreads. It takes a lot of management but I'm sitting in front of my computer all day for anyway. I'll come back around to this when VIX makes it worthwhile. But I'm curious how you all have been doing.

ScottishTrader

You can’t borrow money through the broker to trade options, so you should not be charged. Was the BP the amount of the cost of the shares? If so, then you may not have the options level to qualify for the lower BP (aka “margin”). You may find more help over at r/Webull.

wildcat12321

This is the problem with ESG - the "green" companies they invest in are often green by nature of the business they are in. The brown companies are brown by nature of the business they are in. Punishing BP because they are an oil producer probably leads to an overall worse outcome as marginal ESG projects will be shelved with higher cost of capital. Whereas giving meta a tiny discount on capital won't meaningfully change any of their practices. Many ESG investments also use rating systems that are flawed. Promises over results. I want the goals of ESG - who doesn't want environmental friendly and socially responsible companies with good governance? But the approach doesn't lead to the results people want.

ITouchedHerB00B5

Lloyd’s of London is a trading hall, the syndicates which are compromised of insurance companies are the actual backers of any insurance underwritten. Not everything is written in London, it’s usually for the hardest to place risks or unusual risks. The policies can also be littered with exclusions, so no one will know who is liable for what until an investigation is completed. Also if BP didn’t tank an insurance company this is peanuts.

Solidsauce84

Hahahahah holy shit your BP must have been skyrocketing

aspergillum

> And even within sectors there is still a large discount. Compare the valuation that Shell or BP (7 to 8) get compared to Exxon Mobil or Chevron This may well be deserved. Look at the 2021 Dutch court decision against Shell. > By 2030, Shell must cut its CO2 emissions by 45% compared to 2019 levels, the civil court ruled. The Shell group is responsible for its own CO2 emissions and those of its suppliers, the verdict said. Also, during covid Shell cut it's dividend. A reasonable decision to make. Exxon halted it's employee 401k match and held the dividend. Stuff like that might cause a slight difference in how you value them

IVIalefactoR

Oh, you mean your patient's BP, temperature, and respiratory rate were WNL, but their pulse was 101? Sepsis alert!

AP9384629344432

[This is a pretty remarkable chart](https://i.imgur.com/m8f8wrZ.png) on the forward valuation discount of 47% (worst since 1988) in the UK relative to the US over time. [Here is the FT article](https://www.ft.com/content/be46c2c3-1f1f-42e3-912b-b75624dedcbd) from where that chart is from. Now before you immediately respond with, "Of course it is cheaper, the UK stock market is basically all dinosaur industries: banking, telecom, energy." I've actually [posed a question on this before](https://www.reddit.com/r/stocks/comments/1636wgq/is_the_uk_stock_market_mispriced_a_look_at/) and got many assertions that it's all about the type of industry and Brexit. Fair enough, but I'm not disputing *that* the UK deserves a valuation discount. I'm questioning whether that discount should be 48%! From 2010 - 2016, why was the UK only 5-15% as 'bad' as the US? Then Brexit occurred and a vicious downward spiral occurred. But the UK stock market is a bunch of multinational corporations with most of their revenue outside of the UK, a relatively tiny country based on GDP (we're talking 2-3%, lower than Japan's 4% or the US' 15%). So even if Brexit hurts the domestic UK economy, this should have minimal implications for Shell, Glencore, Astra Zeneca, British American Tobacco, right? And even within sectors there is still a large discount. Compare the valuation that Shell or BP (7 to 8) get compared to Exxon Mobil or Chevron (both roughly 12). Though pharma seems more similar: GSK has a forward P/E of 10, Astra Zeneca 15, while we have Pfizer at (12) or JNJ (15) or Merck (14). But don't forget about Eli Lilly at 61. What would resolve my suspicion that this is a major mispricing? If I had access to the data, I'd want to run a simple regression model: Obtain for both the US and UK their sectoral allocations, earnings growth, profit margins, forward P/E, and then compute the (relative) difference for all of these over time. Then regress that valuation discount on the differences in sector allocation, earnings growth, margins, and to be safe also control for currency depreciation. Then assess how much of the valuation discount remains unexplained by this model, i.e., due to investor preferences about the country not reflected by basic fundamentals / industry composition / currency changes. I'm sure someone has done this exercise, but probably not shared publicly.

JustAnotherNiceDay

My buying power is currently reduced to 0, with $2.5k excess liquidity and it has a Excess Liquidity - CFD warning next to it. I've got about $70k in other stocks - so that's what's contributing to my BP I assume. I checked the DWAC Fee Rate and it's at 180% (which is insanely high - assuming from high IV), so I think I'll owe \~$500 on top (from interest) if I close this on Monday. Is there a chance it'll close on it's own at morning, or will it give me a bit of time to keep the short position open - as long as my excess liquid is above a reasonable amount.

hgreenblatt

Sorry , I guess I was not following . Margin (BP) is calculated every-time you do a trade, and by underlying. It MAY NOT DO IT ACCORDING TO YOUR TRADE. You can see this in Tos by doing explain margin. You click on Margin and a hidden window will pop up (so look for it). [https://app.screencast.com/RconxPf0zAPB3](https://app.screencast.com/RconxPf0zAPB3)

Error_309

I remember Bionano, Nio and Gamestop, aswell as a bunch of clean energy hype stocks, that all went to shit. Bionano was the only one making returns, Gamestop was a lost cause cuz I was way too late. I also sold a lot after it went red, cuz I was scared of it dropping more. Sold NVDA for a los a while ago for example. If I just would’ve held it. About 1,5 years ago, I sold everything and redecorated my Portfolio with 60-80% ETFs and safer stocks, and about 10% for gambling on crypto and meme stocks. Currently top positions: MSCI World (40%) Nasdaq (10%) Core S&P 500 (10%) Blackrock (5%) Apple (4%) Microsoft (4%) Shell (3%) Palantir Calls (3%) BP (2%) Paypal (2%) Maker Crypto (2%) Bitcoin (2%) ETH (2%) rest aint worth mentioning

realcactuspete

Perhaps the calculation is off because your short strikes are inverted... i.e. short call at 509 and short put at 510. Did you play around with other strikes on TDA to see the BP reduction?

realcactuspete

I had issues a week or two ago with futures options not showing up correctly in the analyze tab, (which they fixed by the next trading day) but haven't noticed any issues with incorrect BP. Also my YTD profit/loss in the account statment tab is broken for several futures contracts. Even after calling them twice and messaging them twice they don't seem to know how to fix (its been about 1 month now). Not the end of the world but frustrating none the less. Rolling my 401k to a different broker and will see if they are any better.

Leading-Athlete8432

Ah, 1000 BP (don't mean to nit pick).

m1nhuh

Yes, but $1 = $100 on $1,100 BP.

hgreenblatt

There are a lot of good answers here that help you calculate this. In general you might want to keep that 20% number in the back of your mind. But maybe this isn't your thing, or maybe you are having a bad hair day. So what is a person to do ? Use a modern option trading system . There are a TON OF THEM. You figure out the trade you want , and as you add the last option to your spread, the software shows you the BP or margin you need . You do not have to know how to add, subtract , or even multiple . If it is a really good option system it will also show you the margin you need if the position starts to go against you based on the underlying price. Tos does all this , not sure about others.

Repulsive_Concert_32

Why not sell covered calls? Limit your risk and take advantage of BP

MagicWorldTrader

Oil companies do well when oil prices rise. I own XLE as well as XOM, CVX, SHEL, COP, and BP. Also a little PEO is fun.

LethargicBatOnRoof

*Crudely assemble a rig like a BP engineer...*

LocalGunrunner

FOMC meeting LEAKED: RATE HIKES 900BP, SPY to 50

hgreenblatt

If he had Sold it , BP would have been over 30k, does anyone think this guy has more than $500 in the account.

KE_Finance

Wait you BOUGHT puts right? Contact your broker and tell them you don’t want to exercise your option rights automatically, even if they would otherwise expire worthless (if that’s what you want). They may still disallow it because from their perspective, there’s a chance you would try to exercise them when you don’t have the BP to cover the shares. IB is very risk averse and won’t hesitate to liquidate people when there’s even a sniff of risk from their perspective. TDA/Schwab is more lenient in this regard.

WetRacoon

Idk why you keep calling it a reboot; they’ve never made a FF film. You realize they made two full Black Panther films…right? Nevermind that your comparison isn’t 1:1 anyway, BP is a single character, the FF are four, I’m not sure how they’d be able to shoehorn them into something while giving each family member the room for character development.

tylermm03

I’m thinking they’ll hold, with a very small chance of a 25BP hike. I highly doubt they’ll cut rates given inflation is still at 3.2% and energy picked up over the last month.

SpaceToaster

You might be early still, but yes it will be a buy. Things always bound back. Just like TM, BP, etc...

mitch2888

I use Tasty trade. You can apply for The Works account and you can trade everything on there. The BP requirement increases after hours so you have to know about that or close any trades during normal trading hours.

PossessionFinal2008

It’s not just glp1 agonists. LLY has phase 2 trial results on Retatrutide, a triple glp1-gip-glucagon agonists which resulted in a 24Kg weight loss average, lowered LDL and non-HDL cholesterol and BP

ScottishTrader

Will your broker even allow you to sell naked calls at this price point? You seem to know the risk, and should also know that the stock doesn’t have to go all the way to $1400 for the trade to have sizable losses. There is also the matter of margin expansion where your BP requirements can grow significantly if the stock moves up and the broker may force closing the position for a loss. Best of luck if you pursue this.

That_Scarcity_5045

My BP shares got called away. They're doing alright it's on a slow steady climb. The stupid Russneft thing is what's keeping them down despite all the global unrest. And I just don't see that going well.

tylermm03

Absolutely not, [back in 2012 BP pled guilty to felony manslaughter (in addition to other charges) for the deaths of the 11 men who were killed aboard the Deepwater Horizon in April of 2010](https://www.justice.gov/opa/pr/bp-exploration-and-production-inc-agrees-plead-guilty-felony-manslaughter-environmental)during a well blowout that caused the Gulf Oil Spill. Their shares haven’t passed or even close to the $60.70 high for the day of April 20th, 2010, which was only hours prior to the night those 11 men perished.

Heavy-Busch

Surprised it don’t go down further today. It’s like the South Park BP “we’re sorry” skit.

tin_licker_99

Boeing whistler blower found dead, shot in the head. https://www.youtube.com/watch?v=-r50JXqZ13U Just like how the BP oil spill whistle blower was found run over.

Ben-ji-man

It’s just a factor of how much risk you want to take on in your account. An extreme example, I can make a 50% gain in a day by yoloing everything into 0dte but does that mean I want to? I would bet if you risk adjust your return of 1% week against your margin BP, or figure out your chance of getting PNR’d it sits on the higher end. You can sell tail risk on SPX in a large account, make 1% a month and still have a non zero chance of getting wiped in a black swan which does happen every few years.

nocashflow_

25 BP Rate hike next week

ThatRandomIdiot

Same. Such a great movie. I know it didn’t win BP in ‘07 but is my personal favorite from that year

mlt-

Extra leverage (on top of other leverage). Getting long on futures has margin requirements. If you buy long call option on futures, it ties up less BP. I usually leg into short straddles on futures. But I feel like it constantly creeps onto short call leg. It is like call side for /MNQ is underpriced. And I'm talking 3+ month.