Why can't any US firms compete with SWIFT?

Discussion in 'Prop Firms' started by thetraveler, Mar 27, 2007.

  1. I've been thinking about this for a while now but just can't figure it out and if someone can shed some light on this I'd appreciate it. I would imagine clearing fees for SWIFT is not any cheaper than US prop firms that self clears. Then why does US firms charge 10X the amount for commission? Even if SWIFT takes 30%, for high volume traders it's still alot cheaper to go with SWIFT. I want to open a branch office in Asia but SWIFT has allocated the territory I want already. If any US firms can match SWIFT's model and commissions and interested in opening offices please PM me. Thanks.
  2. Does anyone know if there is one in Hong Kong? I know there's some in China... Anywhere else?
  3. What are SWIFT's commisions , payout and model?
  4. For the first 5 months or so you are considered a student and do not make any commisions. You start off trading 100 shares and work your way up trading more shares as you hit certain milestones. Once you make a certain amount in your final month you then graduate to become a trader. Its then you start earning commisions based on a marginal scale of how much you earn per month, something like 20% on the first $5000 and up to 35% if you can make over $20000 or so. I think this scale depends on the country in where it located.
  5. I think if you work for a US firm your traders need to be series 7 qualified I think?
  6. Trading man you are wrong with your explanation

    It goes alot like this the trainees start with 100 shares which is correct and as they get better they are given more (if the dont they are or should be let go) Once you make $2000 in a month you are considered graduated but the firm especially in Canada pay you from dollar $1. There is no set 5 month trainee time limit and like i said you start earning from the first dollar you make and as you make more your commission level goes up.

    China and some over countries used to pay a low comm but they are being pressured to increase due to competition.

    I hope this helps
  7. Is it possible for one of you guys to post the URL for swift website. Thanks
  8. What you are calling commisions is what is commonly refered to as payout(percentage of profits). Commisions are what a trader pays per share or per trade for the clearing expense, similar to ECN charges. What are the costs for traders per share or per trade?
  9. The only costs I know of are the exchange fees and a very very small execution fee to pay for the upkeep of the software. They have free chatware the traders can use or they can use an outside provider
    #10     Mar 28, 2007