Actually, I'm not happy. If the NASD ruled in Ameritrades favor it would have established a precident for other firms to do the same.
I understand you point of view that a settlement between and SEC and Ameritrade will not be fairplay for the other brokers as IB who have applied the strict regulation. Hope that SEC will do really his job.
I think what def meant is that if the ruling went in ameritrade's favor, IB could also implement less restrictive rules, because the precedent would have been set. It's good for business...
For now, the futures markets are flourishing and more new traders are getting chopped in them... TM Trader
I hope Ameritrade prevails as well. It seems to be in the best interests of everyone. Traders/Investors benefit as well as brokers. The accounting capacity seems to be in place to protect the public and the brokers so compliance with the outdated regulation seems obsolete. We Americans have a patriotic duty not comply with disfunctional or irrational regulations. Let's dump the tea in the harbor!
Does anyone have a clue why settlement is still an issue to the regulators? I understand why, back in the dark ages, it was necessary to wait for settlement to avoid cascading failures if a firm failed to meet it's obligations. Does it still work that way? If the owner of FlyByNightClearingFirm one day manages to empty the firm's accounts and flies to Zimbabwe, would the counterparties all get stiffed? Don't clearing firms have to deposit cash or LCs with DTC or OCC to ensure they meet their obligations? Could a firm big enough to make a difference to its counterparties' liquidity really fail? Does anyone remember the last time a clearing firm failed? What happened?
I am a techy turned trader. I love IB for the following reasons: - Very competitive commission structure, which includes SEC fees on sales (this eliminates a pain in the *ss bookkeeping requirement). - Direct Access - Simple interface, yet elegant. - Good fills - Great, up-to-the-second account updates - I've only had 1 major problem, and they handled it very well. However, if you are looking for a hand-holding company, they are not the ones. You need to be self-sufficient and experienced to enjoy the benefits of IB. - Responsive to email queries and feature requests. - Great $ 95 book !! - Beats the hell out of other brokers (like Ameritrade) who charge and all-or-nothing commission. Everything prorated by share, which is great. - Money Wiring services work great. - API available, and well documented. - Excellent website. Need I say more ????? I've been around, and wouldn't go anywhere else.