I agree with the OP. People SHOULD be allowed to be seperated from their money if they so desire . ALL that should be required is the trader signing a form saying "Yes, I understand the risks". I didn't read the whole thread, but the reason why reg T exists is because back in the 90's, stay-at-home day traders were taking the MM's money by playing the spread. They didn't like this..so what do they do?..they pass a law that fucks over the little guy. As if day trading isn't hard enough (so i hear). If anything, reg T should apply to futures instead of stocks, because you can lose $ so much faster. cm
And how did you turn 25k into 3 mil ? Your company either provides a product or a service. The 2,975,000 did not just emerge out of thin air. If came from customers who TRANSFERRED their money to your company for it's product or service.
Really makes you wonder why you can trade a 70k futures contract with only $500 margin but in order to get 4 to 1 with stocks you have to pony up 25k.
Think GROWTH. Are there more people now then there were yesterday, or 10 years ago, or 20? Of course. This is NEW demand. True some demand already existed but others did not.
Of course there are more people. But is there also more DEBT and a BIGGER MONEY SUPPLY than 10 or 20 years ago?
So according to the above theory we really haven't grown as a country since our existence. We have just printed money and distributed it to our citizens. What day of the month do you get your government liquidity check? Please think. Growth is real it is not transferred because IT NEVER EXISTED. How can you transfer something from the past to the present when it did not exist in the past?
Plot debt and money supply with population growth. The growth may look real but it is offset by the debt that is being used to fuel it. The stock market is nothing more than a wealth transfer machine for the strong hands to profit off of the weak ones. Liquidity checks are distributed every time you borrow money to buy that new house or car or to put your son through college etc. You may not get them directly mailed to you but they pass through the system back to you eventually. The money already exist, that is all that is being transferred to make up growth.
You obviously don't understand growth or economics. I guess you need to tell the US companies that are selling products to China and India that the money they are making is not earned but transferred because our government prints money and we have a high national debt. It couldn't possibly be that new demand has been created due to industrialization of these countries. Do you realize how crazy that sounds. Our national debt has NOTHING to do with DEMAND. Supply and demand have no idea what our debt is, or for that mattar any countries debt. You may now come back with some more bullshit, but I won't respond. It's just not worth it.
Good because that is the biggest BS I have ever heard. Our national debt has everything to do with demand. I guess you need to ask china and india why we are importing more than they buy from us. Go ahead and ask them why the US has had a increasing trade deficit for the past 30+ years. Or maybe ask saudi arabia how much oil we import to them ?
The Pattern Daytrading Rule is discriminatory. The line that it is to protect people is an excuse. It may end up doing so but it's not the reason it is there. The 25K requirement discourages people from directly accessing the markets themselves and thus serves as a barrier that prompts people to instead go through financial institutions like mutual funds. The internet was supposed to even things for the little guy but the industry has managed to put up a roadblock like this under the guise of protecting the consumer. We are constantly fed this noise that the markets are a wealth machine so why do people need to be "protected" from it? If a person is a loser, he is a loser and will find a way to lose. If a person is a winner, he is a winner and will find a way to win. The 25K simply serves as a hurdle that obstructs social mobility. If people want to lose their money in the stock market they should be able to do so. _____________________________________ By the way volente00 I think you should give up your argument against Holygrail. The stock market is not a zero sum game. Dividends ensure it isn't. If you are going to argue that the profits a company makes are zero sum in nature then you really need to go back and to think on it a bit.