War Eagle, We gather tonight at the Big House, and smoke Piece Pipe. Moon Full, River low, fish good!... "The first thing they teach you, is when there's doubt, there is no doubt. The second thing they teach you is 'I don't remember' ". (Quote from movie 'Ronin'). Riddle I speak, you say? Yohda, his own counsil he keep. Simply put, in reading your initial question, your decision to go with the local branch should not be the deciding factor, just because they were the first to provide services in your area. Your decision to be affiliated with a broker, in a pseudo professional stance (since you're not licensed, and probably will not persue such) should have far more basis to rest upon instead of just convenience. In a non professional stance, you're no different from using CyberX2 or any of the other sophisticated Direct Access retail broker services. Regarding affilitation with other brokers, one of the previous comments said it best: "you're a newbie". Their success is based indirectly on "collectively" your failure. Wisely think War Eagle, and never let your horse run ahead of you while you're chasing the fox.
Yoda, er...um...thanks, ...i think...oh, I guess the WarEagle thing prompted that, lol...well, I'm not native American, just a graduate of Auburn University (its a sports cheer thing and I was headed to a game the day I signed up here at Elite...oh the folly of our youth), sorry to disappoint... Actually LD, I appreciate the advice. I have pretty much decided to look at my remote options like Echo. If I went with the local office it would be in a proprietary position (license and all), not retail, although your point is well taken. I don't consider myself a newbie to trading, just to proprietary trading, and never having traded NYSE I thought being around guys doing it was a better way to learn than trying to learn on my own. However, the fee structure at Onsite is extremely prohibitive, so remote is the way it will have to be. Thanks again and may the force be with you, Kirk
Any On-Site Trading clients? I'm looking to buy an On-Site Trading "RedBox" keypad. If not interested in selling one, your product review would be great. Thanks.
Y'know, with all the talk about how expensive On-Site is (and I agree that they ain't exactly cheap along with being stubbornly resistant to lowering their fees in the face of competition), they're not an inordinate amount higher than RealTick or CyberTrader or TradeCast or Preferred Trade, etc. Most of these other guys charge about $15 per ticket compared to On-Site's $20. In short, it can get downright expensive at any of those folks, whether it's $40 per round or $30. All of them make it costly to pare in 'n out of trades (besides making life very difficult on people trying to trade small-lots). For serious daytrading IB is not a good alternative (I know, I've used it), but it sure makes pennies-per-share prop firms look tempting.
$5/trade difference may not seem like much, but $20 is 33% higher than $15. Just 100 trades/month is $24K in commissions annunally vs $18K.
Guys- good info so far. I've been with MBT for a while...was thinking about OnSite...but now looking at ECHO...I already have my series7(ex-retail broker, which gave me LOD(long-only disease)) anyone know about the management at Echo? Who they are? also...how dot the taxes work on an LLC? one more thing, do they offer medical insurance ?
I heard the guy that started Echo came from Bright and that the financial backing was from someone in real estate. You can call Rob at 866.700.ECHO x107 and he will be able to answer most questions that you have. Your income is taxed as "ordinary income" and not subject to self employment tax since the LLCs elect marked-to market accounting. They have medical insurance (AETNA i think) through their clearing firm (PAX). What I don't understand is their health insurance cost 40% more than Bright's insurance for a similar PPO. I'm sure rtharp could give more detailed info on Echo and correct any errors on what I said. Fletch
I've recently switched to a firm that uses the redi+ because I like the system, but didn't like the high ticket charges at On-Site. They initially had a lower ticket charge which is what basically appealed to me. Now they've out done themselves. They have gone to a per share rate with a .99 cent min. I love it. I can't tell you how much this will save me. Im not a prop trader, but still have what I feel is one of the biggest advantages of prop trading, the per share rate. I love it. I believe they do have prop trading, but Im not totally sure. In case you want to check it. http://www.brookstonetrading.com
Management at Echo is a few different guys. They were a split off from Bright that is correct. They saw how Bright was running everything on a shoestring but realized how much they were making. They talked to some of Bright's top guys to come over to them. Jeff traded in the Soybean pit in the CBOT at the same time I was on the floor. We have a few friends in common on the floor. The Arizona office in Phoenix is where the main trading office is located. The firm is registered as a Nevada LLC though. An office in Las Vegas is being set up. I have Met Jeff and Rob who run the office. http://echotradeonline.com/locations/Traders working.jpg here is a picture of both of them trading. I traded with them for a month and plan on going back to Arizona in October to trade with them for a few months so that I can help be a better manager when we open an office here in San Diego, CA Ed does most of the managing in the Chicago office where there are about 20 traders. I haven't met him yet but we have exchanged emails a few times. A member of the CBOE who is a friend of mine checked them out and said he was really impressed with the Chicago office. I plan on flying out there next year to trade with a few of the guys. Gabrille helps with the phones and Vinny does a lot of the risk management. Jeff, Rob , any office manager, or Pax clearing can get you out of a position. They watch all of the traders real time just in case software doesn't protect firm. On medical insurance I go through Blue Cross which is through my own company. It can be done as an individual though. On taxes you are taxed as a professional with just a huge printout you can hand to an accountant that will take him 5 minutes to file for you.