Exchange Seat

Discussion in 'Professional Trading' started by Norm, Dec 6, 2005.

  1. Norm


    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?

  2. Is that such thing at all on Nasdaq?
  3. 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
  4. 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)
  5. will2205


    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.
  6. Yeah but then you have to move to minnesota.

    Is it really $30 per month?
  7. will2205


    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.