Xoomtrade (www.xoomtrade.com) also offers the same deal for NYSE except Xoom has a 1,000 share minimum. Also arca, inca, and isld are included for FREE. Xoom's payout is 40% of Gross commission. Traders have to put in $10,000 trading capital.
You know, after what happened with WorldCo, it's kinda shady to put up capital. Especially something like $25k.
??? 40% of gross Commission?? I assume you mean gross profit, since we're talking about zero commission....40% of zero won't help put food on the table.?? I wish all the best to my friends at PointDirex/Xoom, and I hope that some of the traders check them out. There won't be any "war" between the Firms out there. It is starting to be quite the contrary as of late. Traders need a stable environment in which to trade. Fees are as low as they're going to get (by any reputable firm, just common sense), and even if some firm's "play with the deal" a bit, no decent firm is going to risk losing money just to gamble with marginal traders. The firms with variable costs, and the ability to "ramp up" and "ramp down" as needed stand a better chance in this overall economic environment. Fixed overhead costs are taking their toll, and simply having "market share" of either shares or traders is almost a negative under that scenerio. Decent Firms, decent traders, working together.... that is the only way both will be around on the "other side". Stablility and flexlibility will, as always, endure. Learn what is working now, and be profitable traders (net or gross), and keep your money in a bank (or Firm) that's not going anywhere....you'll be fine. (Enough business 101 for and business ethics for one evening) Back to you all (remember, check balance sheets before you leap into any business venture).... Don
Just a note for any of you that are new to this whole debate about putting money up or not. Even the traders who don't put up initial capital can be on the hook for all the money they made in their accounts. If you pay an additional $10k per month in fees and profit sharing, then after a year, you have essentially paid the Firm $120K, in lieu of starting your own business with $25K. Take all your profits out weekly if you like, don't be dominated by the Firm. Keep enough there to insure 100% payouts, and to not be caught in the trap as I detailed above. Good traders want to keep their profits, and have money to switch "from one pocket to another" (or one bank to one Firm). College students can usually negotiate a lower "buy in." (No bad habits, or losing track records). Employee types who leave everything on the table for fear of switching over a little money will have to do the Math down the Road....and when it hits them, they make another business decision. Thanks to all the calls over the last few days from traders here on ET, I hope to see many of you in Vegas!! Don
I pay a chunk out in commisions, especially NYSE..........but 40% gross..........no deal! Might make sense for some middle income traders, but come on , this is no deal... and I trade 5,000++++ all day long and its no deal, unless you need some very serious capital and figure that in too. I'm sure bright is accomidating to traders, but 90% of all traders ++ lose.......and if they need $$$ for an in + this, then this is nothing than a delayed tombstone. Cheers--& get the best execution/ price mix that makes sense for YOUR EXACT TRADING STYLE. If this is Bright, then go for it! From Hawaii: Da Klaw
Well, now...it seems that we have some agreement, at least with the fact that rates Must be tailored to the individual traders style and techniques. Some use a lot of capital, some simply scalp, some trade only 1,000 at at a time, some trade 10,000 at a time.... There is no "one size fits all" agreement between firm and trader. Find a solid firm, with a stable history, and then see if they are willing to adapt their pricing and support to your growth and changing environments. Do your homework, as in any business venture. Don't get caught off-guard.... Don
Just to add a point here: 90% of all businesses fail. But how many have such an unlimited upside, and a very limited downside? We, as traders, all hope to part of the "Successful Minority." And, since no one wants a "salaried job"...what the heck else you going to do these days? (Smiling, and somewhat "tongue in cheek"...but true nonetheless). Don
I don't think this is advantageous. 40% gross with all the risk? If there is one thing I learned in B School, all business have unlimited upside and limited downside.