Didn't know that. If they can't make 5K in a month with 0 comissions they really are monkeys. But think of it... will those times come when comissions are close to nothing? Or will day trading eventually just die? The floors are almost empty already.
Actually you make 35% on every dollar you make and once you make over 10k it goes to 40% and climbs like that untill 30k and then you take 50%. Still a shitty payout, but for 21 taking home 5k usd is good. I don't trade rebates and not many guys do and they could make money anywheres they choose. I'm looking to switch to another firm to trade remote due to family reasons, but to let you know our top guy takes home 80k.
Why has everyone just accepted these numbers as FACT? They are not believable. It's just not that easy. Even if "20 year old kids" off the street were grossing anything like this kind of money... Swiftrade would not letting interchangeable mooks keep it. Also, if you do the math... 60K / .30 = 200K net profit / 253 days = $790 profit/day on 1M shares/day? For entry level "traders". Just not believable.
I got news for everyone, trading is moving to a zero commission model for everyone. It's still a few years off, but it's coming.
How are firms going to make money? Profit split I suppose? Please let us know what firms Mav, when they start.
No, not profit splits, payment for order flow. Citadel is already doing this. You can trade for free with them already. Most people on ET just don't know it yet.
You guys are so clueless about swift these days its so funny. Lots of guys are making 100k+ a month for the company, and earning as high as 64% split (top level, 300k month). I would bet there are 30-50 people making over 100k/month, and tons over the 10-20k mark a month. Payouts range from 35% (in canada, much lower in other countries where they can exploit like 10-20% in China) to 65% on the top bracket. The average payout for these superstars is 50-60%, regular people 35-40%. How are they doing it? Not rebate trading. I wont say just cause i dont want to piss people off and ruin their earnings, but its not providing liquidity, and it wont last forever...(shockingly to most people its already lasted 16 or so months).
Also, i should add the swifttrades whole model is based on risk management. They probably are the best in the industry at controlling risk with absolute dont fuck with us rules. Between auto stop outs, overnight policy, student ramp up, branch mangers etc, each branch individually doesnt normally have negative days from what ive seen. Perhaps that is the problem with american firms, they over expose themselves and end up getting bit by poor market conditions where they experience drawndowns firm wide?
perhaps your right there seems to be a whole lot of billybad canadian traders out there....I bet the auto-stop is a great thing
Does that really amaze you? The pikers get cut off at a $100 loss, and the good traders put up 2000 or 5000 or 20000, they should never have a losing day, ever! The fact that their software goes down during market hours, could cause disaster down the road. As I understand it, swift has a regulatory edge over us firms, and that is a tremendous edge. (That's why swift doesn't have any US offices)