I agree with your statement about not trading with money you may "need" in 12 months. I was just throwing out a hypothetical situation...
well actually eric i think you are also mistaken...from my best recollection.....it's more like 6months after you ask for the withdraw...and you can only ask after you've been there for at least 6months an easier way to find out is to call Echo!
This SEC rule was intented from keeping retail traders from opening an account only to close it out a few months later. By joining an LLC you are becoming a member of an exchange (sharing a seat). The SEC would prefer not to have a high turnover of traders at an exchange. To my knowledge the 12 months start from day 1 not the day you leave. Just call the firm and ask instead of posting all of these maybe...this or maybe that. why not just go straight to the souce and ask them.??? Robert
Actually not with my experience. I've been trading for awhile and one thing I always to is peel out of winning positions by placing offers heavily outside the market when I'm long and bids heavily below the market when I'm long. Different traders do different things but I am a trader that profits from the ISLD rebate a lot when I trade NASDAQ. Robert Tharp
FWIW, I am considering the possibility of joining a professional firm, and I e-mailed ECHO this exact question and a couple of others, on March 6th. I received and e-mail from them saying I would be contacted within 48 hours. Still haven't heard anything. Maybe using the phone is better .
This 12 months from notification of withdrawal was what I was told, that's why I brought it up. It may be that I misunderstood, I did not see this in writing. I apoligize if that is incorrect, as you mentioned, it can be clarified by calling company or looking at their contracts. RTharp, As far as peeling off the position, I agree this is a great strategy and I see where it would help to defer the isld ecn fee if you are being charged it. In fact, partialling and moving stop to breakeven, which BrandonF originally convinced me to look at during the choppy mkts in the summer, really helped me stay in the game during the learning process. I still find myself hitting the bid/ask many times, especially getting in and getting out when I see I am wrong. Also, a bit off subject, but thanks to you Rtharp for the article on professional/proprietary trading you sent me a few months back. It was very informative and helpful. Eric
Does anyone know what firms in the industry hold your deposit if you want to leave, say 1-2 months after you have joined an LLC?
That statement is irrelevant to my point. I specifically mentioned bidding/offering to enter the trade (when the stock is trading without significant momentum) where you are describing a scenario of holding on to long and being passive to get out of the trade that has already started to turn, which I agree can often translate to another 10 cents chasing the stock for an exit. As far as the rebating goes, it was not included in my numbers, I merely mentioned it as an aside. IN fact my broker does not even give me a rebate so a moot point to me.
Jack, Your profile says you are the San Diego office manager for Bright? Are you looking to leave Bright? That is pretty big news considering your managerial position with them. Julie
I have been with Bright for 7 years, I am not looking to leave. The reason I asked the question is that I have been told that some firms will not return traders deposits for 6-12 months. We return any deposits after all trades have cleared. A number of traders have asked about this, that's why I brought it up.