Utilize your financial knowledge, give your answer or opinion to the input question or subject . Answer format is not limited.

Funneling money from a Traditional IRA to a Roth IRA using Options: Is my method possible and tax legal?
I am not a lawyer, but I can't think of a reason this is illegal (something that would be illegal would be to "trade with yourself" across the accounts to try to manipulate stock or option prices). I don't think you're "funneling," you're doing "asset location" which is a standard tax planning strategy. http://news.morningstar.com/articlenet/article.aspx?id=154126&t1=1303874170 discusses asset location. I'd be more concerned about whether it makes sense.