I understand how Naked Put work but I am unsure how it work with respect to the ACH.
When I sell a Naked Put do I have to register my liquidity with the ACH?? So in essence I need to have the entire money to buy the shares in a bank account somewhere??
The entire money I have to have as cash, as Lev Eq (my margin loan holder) doesn't support naked puts, is there anyway around this ie once I have been exercised aren't I just buying shares so why won't my bank support Naked puts (if the shares continue down won't I just get a margin call).
Can someone step me through Sell a Naked Put on the finance side.