come on.. the SEC is protecting $500 on avg per trader's deposit. never you mind they have cost them 6 trading days and counting. back in the US... back in the US... back in the USSRRRRRRRRRRRRRRRRRRRRR. edit: and this is according to the summary in the complaint. they claim the books are off 10%... this is "alleged" not proven.. worst case scenario. meanwhile Bear Stearns is going to rape the taxpayers and i haven't heard of one indictment.
That may be true, but what is "enforceable" overseas is very different from what the SEC can enforce here. wink - wink - plus, I like the 0% tax rate if the trading entity is set up right.
And let's not forget that this is the same government that allows Bob (the $25,000 per year janitor) buy a $600,000 home with zero down. What a fucking sham !!!
i'm at assent and this is the deal 1-don't take series 7 but put up 30k and have to maintain 25k balance-i will get regular 2-1 leverage overnight and 4-1 pattern day trade BP- this is same as an e-trade for example 2- take and pass series 7 and its business as usual with the nice leverage everything else is speculation at this point-you don't hear Don Bright sweating do you? Just take the damm test and stop freaking. Get with a licensed firm and your ok. Wishing this to go your way is fruitless. It is now just the way it's going to be
That's the whole point of this thread ... IF the hammer comes down your series 7 isn't going to save your ass. The PDT rule is what it is series 7 or not.
What about a LLC is that is a sub of a futures firm, does the SEC have any justrisdiction over a LLC that only trades futures and no equties? Or is futures safe?
From what i have heard (and im not the most knowledgeable person on this) is that the canadian prop firms that require no deposit, and pass through commission at cost are a different business model than the LLC leveraged deposit types. Because they do not extend leverage to people, and do not mark up commission, as long as they have the appropriate registrations and structure, they are not lumped in with potential actions against the other LLC firms.
LOL Because Don Bright is above the law ? If the SEC enforces the law to the letter (as it currently stands) then all will be forced out of business. It's that simple and the LAW is very clear.
You aren't going to be able to get nice leverage even with a 7. The SEC explained that the PDT rule applies even if have a 7, so a BD cannot extend leverage to traders above and beyond the 4 to 1. Once a deposit is taken, it is looked at as a retail account. To be honest, I hope I am wrong as I don't want people to loss their income.