Funny you say that...a couple of years ago, the KFC that shares our street corner went out of business, and we entertained the idea of buying the building, and putting in a Coffee/Sandwich shop with Web connections so our traders could trade, and retail people would have web access as well. I thought we would have www.fulltiltpoker.com set up as well. We didn't do it, and they put in a Java Detour shop instead...and they're busy all the time, oh well. Don
DON, great idea. you have a good business model, but if you were ever to allow traders that are not licensed get involved with the strategies & leverage you offer, it would be a big plus, considering the concern that most traders have with a llc, not knowing how financially stable they are at times.. too bad you don't offer a option outside of licensed 7 model..? OR even create a structure to fill the gap for more traders that want to grow with their strategies with a fianancially strong co which no one denies.. other firms offer options licensed & unlicensed with limitations.. any thoughts of ever filling the gap for traders that want peace of mind? thanks,
Givin your knowledge and years of experience, you must have had a good feel that kind of business would work. Maybe its not such a bad idea. Not much legal hoops either because technically, we're not a prop. Here's another idea...keep the place open 24/7 so it can serve college students (like FedEx kinkos).
We did have Bright Securities for a while, allowed new traders to go through training while they studied for their exam. Regulators didn't like the idea of having non-licensed traders even near licensed professionals, so we eliminated that option. I was right in the middle of negotiating with eSignal to bankroll a thousand or so of their retail people, give them maybe 10 to 1 capital usage from our account, but we can't risk what we have when it comes to staying "squeaky clean." And, I always wonder why someone who thinks they are going to make a good trader won't bother taking a silly test. If they can't do that, how in the heck are they going to do the work necessary for trading? Of course, in some cases, there is a language barrier, which made things tough in China and South Africa, but for all english speaking people, shouldn't be an obstacle, IMO. Don
Why the exam... Tuco does not require the exam... curious Don... thanks... <img src="http://www.enflow.com/p.gif">
An exchange requirement since around 1998. Back when we had the shootings at a retail type AllTech office in Atlanta, and the Senate was investigating "daytrading" we lobbied hard to have our exchange member status remain for our traders (without that, the livelihood of several hundred families would have been in jeopardy). We were successful, but a distinction had to be made between "retail" and "professional" (not "amateur" and "professional" as some think, which may sound derogatory)... so they came up with the Series 7 license... we just laughed and said "that's all they want" - no sweat, and it's been that way ever since. I forget offhand who exactly Tuco is, but there are a couple of private-type arrangements/companies that will let people come in without a license, I know most the major firms can't. Don (I don't have a cool Knight like you do, but here's my dog Trader, LOL
don, thanks for your response, its a matter of not going thru the extra hassle for most traders, if you don't have to , then why.. its all regulatory stuff anyway, i brought it up , thinking that if your firm were to offer a model for unlicensed traders it would be a major plus for those on the fence to join a financially sound co that offers many options to its traders. but not doable within the structure you have, without creating conflict.. just thought it was a good idea in any event. i see your point .. you can not offer everything to everyone, just what you can ..