Exchange Seat

I understand that to get the lowest commissions (or no commissions at all), it is necessary to have a seat on an exchance. Do anyone know if a daytrader can obtain a seat on NASDAQ or otherwise become a member?

Thanks,
Norm

 

Is that such thing at all on Nasdaq?

 

you can purchase a seat on the physical exchanges for a respectable fee.

don't know how electronic exchanges work though..


A clearing member does not have the same commission costs of course

 

To become a NASDAQ MM (Market Maker) needs no seat to purchase. It is a rather expensive proposition and would force you to make the market in a number of elected OTC shares (deep pockets required NOT a seat)

 

You can buy a seat at the Minneapolis Grain Exchange for under 30K and lease one for $30. This if you don't mind trading wheat futures.

 

Yeah but then you have to move to minnesota.

Is it really $30 per month?

 

Yes, $30 a month. This is not a typo. Spring Wheat margin is $650 and spreads are much cheaper I here tell them Domingo sent you.