Vise Announces Four Long-Short Options for Interactive Brokers Accounts

Vise announced Thursday that advisory firms can place its Long Short portfolios in client accounts held at Interactive Brokers, with four combinations of long and short stock exposure available.

The configurations are 130/30, 145/45, 200/100 and 250/150. Stated account minimums are $250,000 for the first two levels and $500,000 for the latter two. Custodians may set higher minimums, and no separate threshold is listed for Interactive Brokers accounts.

Long Short extends direct indexing by holding long positions in stocks expected to outperform and short positions in stocks expected to lag. The portfolios maintain 100% net long market exposure. The strategy is designed for clients with large embedded gains, including concentrated stock holdings or proceeds from business or real estate sales.

Advisory firms new to Interactive Brokers can complete onboarding digitally and typically be up and running in about two weeks. The strategy is available for taxable accounts and includes daily tax-loss harvesting and wash-sale screening across accounts that share a tax identification number.

Margin and short selling involve financing costs, possible margin calls and potential losses on short positions. Tax-loss harvesting may reduce tax liability but does not eliminate it.

“Long short has been treated as a product for a select few. The problem it addresses is not,” said Samir Vasavada, Vise co-founder and co-head.