Etrade futures

Discussion in 'Retail Brokers' started by newwurldmn, Aug 30, 2016.

  1. rmorse

    rmorse Sponsor

    I recently did this for a new account that asked me what they should expect to pay for ES and FX futures with a $0.60 commission rate. I believe this to be accurate as of last week. I hope this helps. This would not include the cost of the trading platform eg RealTick, CQG, CTS, TT etc. Some charge a per futures cost, others are a monthly flat rate.


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    #11     Aug 30, 2016
  2. MattZ

    MattZ Sponsor

    For many institutions out there, the Futures business in just to satisfy a small need and they price it outside the norm. Yes, I agree with @Maverick74 that sometimes the bigger institutions charge a bit more do to their size and many are ok with it, nevertheless, I find that you can get reasonable prices even with the larger FCMs if your business justifies it. When transferring an account cost (material) should be a consideration, however some choose to walk away due to technology, execution, support, etc. They want someone who specializes in that area.
     
    #12     Aug 30, 2016
  3. dealmaker

    dealmaker

  4. Maverick74

    Maverick74

    #14     Aug 30, 2016
    dealmaker likes this.
  5. newwurldmn

    newwurldmn

    That part scares me - your money is pooled, and while it's unlikely to have another MFGlobal, it's unnecessary risk.
     
    #15     Aug 30, 2016
  6. rmorse

    rmorse Sponsor

    From the CFTC website: http://www.cftc.gov/IndustryOversight/Intermediaries/FCMs/fcmsegregationfunds

    SEGREGATION OF CUSTOMER FUNDS
    • All customer funds for trading on designated contract markets (exchanges) must be kept apart (“segregated”) from the futures commission merchant’s (FCM’s) own funds—this includes cash deposits and any securities or other property deposited by such customers to margin or guarantee futures trading.
    • Segregated accounts must be titled for the benefit of the FCM’s customers.
    • Acknowledgements must be provided that would preclude a bank or clearinghouse from recognizing a right of offset against the account for the FCM’s debts.
    • Customer funds in segregation have a bankruptcy preference in the event of FCM insolvency.
    • To the extent that customer funds are not sufficient to pay customer claims, the remainder of what customers are owed will participate pro rata in the distributions to unsecured creditors of the bankrupt FCM.
     
    #16     Aug 30, 2016
    comagnum and CannonTrading_Ilan like this.
  7. Maverick74

    Maverick74

    Yeah that's a farce Bob. PFG and MAN are both proof of that.
     
    #17     Aug 30, 2016
  8. Did any futures customers ultimately lose money?
     
    #18     Aug 30, 2016