ECHOtrade's solution to new daytrading rule.

Discussion in 'Retail Brokers' started by TraderJimR, Jul 26, 2001.

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  1. I challenge you to name ONE firm that went bust and as a result all the clients lost ALL their money. Name ONE!

    Next, you said,

    Can you explain what, "I work for ..." means.

    Finally, professional margin is for professionals. I am disgusted that prop firms are trying to get newbies to come on board and promise them professional margin. How is a newbie become a professional in one day? Is it just because he passes the series 7, which has nothing to do with trading? Do you honestly believe that giving a newbie such buying power is in their best interest?

    But then again, since you work for a prop firm, I don't expect that you will give us a credible answer.

    I suggest that all you prop firms employees go trolling for business elsewhere. And I suggest to the readers of these boards to be aware of what is going on here.

    If this does not stop, I will be contacting the SEC to investigate the source of all the posts. You never know what they may find that I can't. But, I'm sure that if my hunch is right and prop firms are trying to get newbies to trade with them through these boards through illegal means, including your journals which suggest performance at a prop firm, they will have a field day with this stuff.

    If claims such as "you have a better chance at a prop firm" etc., do not have substantial evidence and are posted by employees, managers, partners or principals on these boards, then I'm sure the SEC will determine the appropriate punishment.

    Just my 0.002,

    #41     Jul 29, 2001
  2. dilman57


    ECHO may be asking for trouble.
    1)will they be able to handle a large influx of new traders?
    2)will they withstand the lawsuits from idiots that blow themselves up by over-leverage?
    I worked with a large broker that lost suits because they should have saved a dumb ass from himself.Some to the tune of mid-six figure settlements.

    Just a word to the wise.
    #42     Jul 29, 2001

  3. note to self: try not to piss off Sniper.. =)

    #43     Jul 29, 2001
  4. LOL,

    I'm sure you can handle an old fart like me ;)

    JB made an interesting point about age. I should add wisdom/experience to it. Put my age and my experience as a detective together and you get someone who can see the glass both half full and half empty at the same time.


    Damn go back to my twenties? How about go back to my forties and change some of the abuse I put on my buddy :).


    PS, I forgot to mention that I do get grumpy sometimes due to my old age as well :)
    #44     Jul 29, 2001
  5. Hitman



    YOu don't have to be a rocket scientist to figure out that some guy in his slippers starting out with a 15K IB account will take a lot longer to go profitable and making substantial money than some guy who starts out at Worldco and trades firm's money and get something like 1500 shares, 10 positions 6 months into the game. If you can't see the advantage of joining a prop. firm that requires no capital contribution as a newbie something is wrong with you.

    There are other firms that require no capital contribution too, I have a friend who is trading at a Nasdaq firm and he was up 50K for the year (85% payout) and he got all the checks when he was playing well, summer hits he is down 16K now in firm capital but he got the full checks when he was making money. Now his boss told him just go ahead and trade, everything he makes, 50% will go into the losses the other 50% will be given to him as a check so he can pay his bills.

    Sure, there is no charity on Wall Street, every trading firm is interested in primarily commissions, but that's pretty classy don't you think? At equivalent skill levels he has a much better chance to make it than most other newbies and their IB accounts don't you think? Not to mention some of the traders at my firm are down 20K or more in their account, if they quit my firm will eat those losses and they can continue with their lives without taking that substantial hit.

    Why is this illegal promotion? I use a product/service and I am so happy with it and I want everyone to give it a try, especially if this has the potential of completely change their fate. What happened to freedom of speech on the Internet? I am posting a trading journal with the blow by blow's, I post my winners and I post my losers, if the readers on those boards have any brains they will figure out the best solution for them, they do not need SEC to put a 25K on their IB accounts why do they need SEC to troll those boards?

    What's so illegal about a happy trader at a prop. firm talking about it on a message board? Why are you so afraid of people switching to the prop. firm that requires NO MONEY DOWN? I repeat, you CAN trade with NONE of your own money on the line, and you are NOT liable for ANY losses you incur.

    Where is the catch? What does 10 to 1 margin has to do with this? TELL ME WHERE IS THE CATCH IF YOUR OWN MONEY IS NOT ON THE LINE? Did I make any claims that you will make xxx amount of money if you join a prop. firm?

    Age and experience DOESN'T MATTER in this business. The number one trader at my firm is in his early 30's. It is passion that counts. For most people on their own, their passion will never be fulfilled. At a prop. firm, at least they get a serious shot to be all they can be if it is meant to be . . .
    #45     Jul 29, 2001
  6. Hitman,

    First, not everyone is as smart and talented as you. I think you have managed to make that point clear to everyone on this board. You suggest that there is something wrong with me, and I will tell you that my ex-wife would probably be the first one to agree with you. She is however a certified kookoo who has been on medications over the last 35 years. But just like you, she is entitled to an opinion.

    Now back to biz, you didn't answer my questions. After you answer my questions I will answer your.

    I challenge you to name ONE firm that went bust and as a result all the clients lost ALL their money. Name ONE!

    Next, you said,

    Can you explain what, "I work for ..." means.

    Only after you answer both questions and explain exactly and in detail your claimes, I will consider giving you the benefit of the doubt. If you can't support your claimes, then don't make them in the first place.

    My post was directed at all the hypsters with financial interest in prop trading, not just you.

    You say, "What happened to freedom of speech on the Internet?" As a licensed broker you should know where your freedom stops. If you are not sure, the SEC or NASD will gladly explain that to you.

    You say, "Age and experience DOESN'T MATTER in this business."

    Some words of advice here. When someone older than me speaks, I always listen.


    Can you support this with any kind of studies that were done on this subject?
    #46     Jul 29, 2001
  7. RAY


    Too funny.

    Relax guys.
    #47     Jul 29, 2001
  8. Hitman



    I trade at Worldco, and if I survive I will eventually seek a contract for a trading desk. I absolutely love my firm despite of its flaws mentioned above versus Echo.

    Sure I am not aware of any broker that ALL of its clients lost ALL of their money, big deal, can you say with confidence that nobody ever lost substantial amount of money because their broker went under?

    There is risk involved in everything. As traders we eat, breathe and sleep with risk. You short the world boom Fed. announces surprise rate cut, there goes your capital contribution. I don't know about you but there are a lot of other stuff to consider in trading far more potentially diastrous than a firm of Worldco's caliber going under. Yes, it will be a huge blow, afterall there are traders with a lot of money in their capital acocunts, but that's the level of trust you have in a company when you know you are dealing with a good company, the risk is more than worth it.

    Am I advertising that every newbie on this board should go to Worldco? I am simply telling them that if they are struggling they should serious considering going to a prop. trading firm in their area that requires no capital contributions. This is particularly true if they live near a major city. I have no college degree and I am 21 years old, if I can do it, you CAN. Is that advertisement? Does that violate any SEC laws? I doubt it. I am talking about two different career choices in trading, home boy versus prop. firm, you can go to Echo, Worldco, Bright, Schonfield, Andover, any firm, compare for yourself, and then decide. I am just telling people not to be living under a rock and look at some exciting possibilities. Just because it doesn't work for you doesn't mean it can't work for anyone else, most people will agree prop. firm without capital requirement is the best way to get started, I don't see how you can stack up a valid argument against that.

    There are too many grandpa's coming to my firm thinking they can make it after whatever job they went through previously, they are at an extreme disadvantage versus someone like me who can completely pour myself into whatever I want to do at this age. The truth is trading has no age boundaries and everyone has the same chance of succeeding when given a chance.

    The readers on those boards are not going to quit their job and join Worldco just because I posted about my experience with the firm. They are not as stupid as you think they are and they will visit an array of firms before they make the decision.

    Now answer my question, give me one reason, any one advantage, why should someone be playing his small potato IB account when he can work at a prop. firm without his own capital on the line. You can't.
    #48     Jul 29, 2001
  9. mjt


    Hey guys, I moderate this forum. I don't see anything wrong with the discussion that's going on, but we're getting way off topic, which is EchoTrade and the new margin rules. Feel free to start a new thread if you want to discuss the advantages of trading with a prop firm.
    #49     Jul 29, 2001
  10. Would either of you guys care to elaborate on the specific problems you’ve experienced with VTS. Thanks in advance.
    #50     Jul 29, 2001
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