Front End Firms.... Front end firms are responsible for the imposition of the PDT rule in that their take is an extremely high percentage of the initial capital... Think of it this way... What are old-time usury laws with respect to bank loans...loan sharking...30%..? Usury laws were imposed because of the high lack of ability to create an economic gain after loan payments....This somewhat hidden high percentage is what the accountants and government really don't like... For simplicity... According to current arca statistics...the average trade is less than 400 shares...... Nonclearing front end firm's best deal is around .001 and receives .001 after ecn rebates...charges the customer .01...firm grosses .01...customer pays 400 x .01 x 4 x 240 =$3840.... $3840/$25000 = 15.36% but is 38.4% of $10,000.... Software frontend firms want $100 per month...now its $4840/$25,000= 19.36% per month...but 48.4% of $10,000.. Now lets add those fantastic trading school costs whom have never been able to show a simple example of a real set of brokerage statements from themselves or their students...This now makes the cost of a $25,000 account even higher...and for the $10,000 player even more ridiculous.... Possible solution: back end firms...the new business model... The back end firm clears for .001 and passes through ecn rebates...thus the cost for 400 shares is 40 cents or less... Commission costs are now 4x40centsx240=$384.... The firm is the new breed that has a stable of traders that are profitable every day...New players learn by putting up $1000 to $5000 and start by delayed simulation...100 share lots...and increase size only when profitability is proven...Corporate members pay 5 to 15% of the profits to the trading corporation... New players learn by true example...avoid disastrous usury percentages...and the SEC..NASD...NYSE...all are happy... Not so happy...are the front end firms....the people who can't walk their talk...