Registered: Nov 2001
09-04-12 08:31 PM
When I traded with Schwab, one morning one of my holdings jumped up $40, almost doubling. I got two phone calls from Schwab premarket.
The first was from a rep who was calling everyone who held the stock, just to give them a heads-up. (I had already noticed and had sold some of my position.) The second was from a rep asking why I had placed a limit order to sell some call options so far above the previous day's closing price. He was worried I had made a mistake.
I didn't mind either call, but I kind of wondered why they bother calling people just for placing an order to close a long position at a higher than expected price.
Not saying you shouldn't be concerned, just saying that it's common for the reps to look at what the customers are doing under some circumstances.
I suppose I would have minded if someone at the brokerage was watching my trades and copying them, but I know I'm not that good.