Trader status question

Jun 21, 2013 1 Replies

How can a small trader (under $100K) who does not day trade but uses a strategy such as, say, merger arbitrage or premium writing get MTM accounting? Surely, if it us set up as a business entity, it can be treated as such, no? Or else how do hedge funds set up?


strategy such as, say, merger arbitrage or premium writing get MTM accounting? Surely, if it us set up as a business entity, it can be treated as such, no? Or else how do hedge funds set up?

If you do not qualify for trader status, and it appears that you do not, then mark-to-market is not available.

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