Tradescape.com, are they finished??

I was always curious about MarketXT.

I've read that this ECN was targeting institutional business (as almost all the ECNs say). Did that ever get anywhere? Who were most of its clients- day traders?

-K

 

Yup,

Daytraders, unfortunatly, most of the volume was generate in-house. Another words, it was generated by hitting each other on the bid and ask.

 

Where the traders generating all the volume on these ECN's from Momentum or somewhere else ?????

 

I heard that the CEO owed a trader 220K dollars and didn't pay him. Due to lack of ECN costs recovered.

 

The volume was generated at the headquarters at 57th street in NYC. They hired a bunch of traders to trade MKXT/LSPD only and make markets in wcom, nxtl, etc.

The way they get paid is through volume, thus the mkxt rebates. All they have to do is make .01 and they'll get paid. The only bad things is that the firm was eating the loses to generate volume.

See what happened to the ET stock after the aquisition??? lol, this is the only beginning.

 

so what's the story now with Tradescape?

 

Had a contact with two of them, looks very fishy, empty offices no details given. Would not go there even for free. As I understand some of the branches try to regroup and change the structure to a new privet company.

 

Kind of sad. I used Tradescape for awhile and they did a decent job with what were, at the time, great commissions. Victem of the times I guess.

 

They have to attract new blood since anyone who knows them won't touch 'em.

 

They call themselves Etrade Professional now in order to attract new blood.