I just IMed 2 Generic trader's, NO such rule @ Generic or any Madison Sub of Generic. I bet this guy wants you to compensate him for his 25K loss! I have never heard of any shenannigans from anybody that worked on any of their desks. Next Victim
I have read the contract and it's a subsidiary of Generic. The question I'm wondering is... how legal is this contract? And.... does Generic know one of it's subsidiaries is using such terrible practices to scare traders? I mean in my opinion this is just a terrible act. To try and scare someone into staying even though they're not training them. Trading is tough enough in my opinion... you don't need to have someone scaring you and making you stay in an uproductive environment. My student has not been profitable... where in the world is he going to get $25k to pay to leave.
"He" (You) need to hire a lawyer to find a loophole in the contract. If the parent or clearing agent, in this case Generic Trading does not permit such arrangements then this smells. You are not going to get any more advice on this message board that will be of additional help without a lawyer.
I can't imagine that Generic (proper, main company) would have something like this. But, as I've said a hundred times on this board..."Don't get involved with SUB-LLC's" - be extremely cautious if the main firm doesn't sign your contract. Good luck with your 8 months of mentoring. Don
Welcome to the real world, sorry you had to find out about it this way. I cut my teeth on the crap of so called honesty and malarky that was sold at Onsite Trading, only to leave those bastardos and succeed. You might want to keep better company next time. Simply put, if you transfer to another location requiring a license, then they will or might be nasty and frustrate the release of your license. Request your U5 before you leave and do not allow them to send it later, do not allow them to mark it up with derogatory comments or confront them and have them remove them. Keep your own copies and present your clean copy at the next firm! You can seek redress should this not work cleanly. Also, seriously consider not going to another location that requires a license. There are more, and you maintain normal customer protections of your monies and rights. Being licensed leaves you in the lurk of employer / employee disputes, where there are no protections of your monetary assets.
I agree with most of what Limit is saying, but I do have a different viewpoint about the licensing. The regulators are more strict than ever about non-licensed leverage being given by "quasi" brokers (usually not exchange member B/D's). The license is really a must to be able to qualify for capital usage. There are no "employee/employer" relationships when you join an LLC...(not a sub LLC as mentioned above). We tell the traders coming here from other firms to simply file their U-4 application with us, and the previous firm has 30 days to send your U-5 termination. In cases of violations by the trader, the firm is compelled to list them, but that rarely happens (at least with us). All the best, Don
Does the actual owner of Generic not support this practice? Wondering if anyone know if he/she or anyone else that knows anything trolls these boards and can point me in the right direction. I would relaly like to hear from someone who tells me Generic doesn't support this practice and is against it. If this is the case I will have my student contact the head office immediately to resolve this dispute.
Sounds like a good thing to do..have your guy simply call the "big boss"....Check with the Philadelphia Stock Exchange. If the Philly is holding your guys Series 7, then he should be able to contact them directly. Don
Carlin Financial group is the parent company. http://www.carlingroup.com/ http://www.carlingroup.com/index.php?option=com_contact&catid=12&Itemid=3 Have your LAWYER contact their COMPLIANCE department. NASD Member Firm CARLIN EQUITIES, LLC CRD Number 31295 SEC Number 8-040963 Applicant Name on Form BD CARLIN EQUITIES, LLC Prior Business Names CARLIN EQUITIES CORP. INVESTOR'S OPTION CO., INC. Business Phone Number 212-905-5700 Main Office Located in NASD District: 10-New York Main Office Address 666 THIRD AVENUE 8TH FLOOR NEW YORK, NY 10017 Mailing Address 666 THIRD AVENUE 8TH FLOOR NEW YORK, NY 10017
Isn't Carlin the "non registered" retail side of Generic...I'm pretty sure that Generic is an exchange member of the PHLX. (I may be wrong, things change)... Don