Not to argue the facts, but I see about $300-$400 bucks to "overcome" - hardly "serious cash." I can add more to this. Our traders pay $500 annual fee to the exchange, and the $85 FINRA fee. Initial licensing may cost a few hundred as well. Hardly a hurdle in a business sense, IMO. Just trying to point ou that professional trading is a business, like any other...heck, in my Public Accounting days, it cost me much (much) more every year just to be able to work in the industry at a "job." ... much less a business. Just something to balance out... Don
I agree. I don't think the fees are too bad. Don, Why do some firms have the 1 yr lock up and some don't? I was under the impression this was a SEC rule that applied to all firms.
This only looks high because they were honest enough to tell you up front all the costs. I'm sure in the future if you volume is there, so can get them to cover some costs. If they have to pay these fees, and you don't cover them with your trading, you can't expect them to pay the fees for you.
The fees look like administrative fees. They don't look too bad. It just looks like you are being nickeled and dimed. $585 in admin fees per year. Sounds like a sad fact to me. Reminds me of the time when I was sitting in Penn Plaza to take the Series 7 exam. Met a bunch of new recruits from Morgan Stanley and none of them had to pay for the cost of the exam nor the cost of the exam materials like I. Was just another reminder that I was at a mook firm. Dayum! Well, I doubt traders at Morgan Stanley get nickeled and dime every year with admin. fees like the $585 Bright fee or the laundry list of fees at Broad Street. I could be wrong tho. You could ask a trader at Morgan Stanley about this. Oh, I think they also get a decent salary in addition to eat-what-you-kill pay. Not sure about this either. Might be worth asking. They might even get a signing bonus. What da hell is this? Free lunch? Haha....
I'm pretty sure you're being facetious about "Morgan Stanley guys" LOL. Sure, there may be a few that get hired on jobs, paid to execute trades, and "brokers" of course... but as far as discretionary trading goes, well... no way. In this day and age, the independent trader has few choices. And, again, I must say that any business or profession has some (very minor in our case) costs involved...from a Subway sandwich shops' many licenses (not to mention the gigantic profit split and the $300K-$400K "franchise fee." .... Having the license held by an exchange costs a bit, gives you privileges retail types don't have, etc. NOT for Everyone, I agree.... LOL - No "Free Lunch" - you're right All the best, Don