Your thoughts Mr. Maverick

Discussion in 'Prop Firms' started by Don Bright, Oct 4, 2010.

  1. Just got this passed down from Goldman about the CBOE. Seems to address similar "red flags" and "profit sharing" as we discussed before from FINRA- just curious as your thoughts on it - or maybe after you chat with some CBOE friends. ?



  2. Fractal


    A lot of people don't know this, but Maverick74 taught me salsa lessons. I offered him about $34 and he informed me that he used to jam with Rush and John Cougar Mellencamp. What kind of D-bag has "Cougar" for a middle name and doesn't endeavor to change it, let alone use it in all of his promotional literature? This is not something Nihaba Ashi would tolerate.

    When Maverick74 left WorldCo for Chicago, he knew he had to pass on his dancing knowledge or else someone would develop restless leg syndrome. He saw the planes hit. He was angry with the grand arc of the advertising industry, the way document management technology was not getting its 15 minutes of limelight, and regretted voting for Bush. That's when everything changed.
  3. Maverick74



    I actually just read that an hour ago. You know, the CBOE is not doing anyone any favors here. They left their language incredible vague and basically said, keep doing what you are doing, we'll take it on a case by case basis. That is what I think. I'm trying to get further clarification but the vagueness in the language suggests to me nothing will change on their end.
  4. CQNC


    I stumbled on that yesterday but totally randomly, from a link off TDA.TOS. I'm thinking of opening a corporate account to use on an iPad, the new app looks slick, and I am really curious what they're doing on CNCB FastMoney with theirs.

    I want to know both your opinions on IB Prop. If I want to be across HK and EUR exchanges, pre-NYC+CHI, it seems like a good solution.

    Bloomberg has E**** as well. Haven't found out much beyond the promo site. Will know more this week.

    DYK? IB has a Canadian prop division based in Montreal? Bueller?
  5. Actually, that's how I read it - very vague...not sure what they're trying to infer or imply at this point.

    Let me know if you hear anything in more detail, I would appreciate it.

  6. Maverick74


    I think they want to make sure that firms are clearly defining the relationship that sub accounts have to the broker dealer. As long as the broker dealer specifies the terms of the arrangement and does the pre-screening of all new traders I don't see why our firm or any other CBOE registered firm would have to change anything.

    BTW, when are you coming to chi-town?
  7. CQNC


    What are the red flags concerning profit sharing?
  8. Maverick74


    The idea is to distinguish prop accounts (sub) from retail (customer) accounts. As the old saying goes, if it walks like a duck, acts like a duck and quacks like a duck, then it's probably a duck. Same is true with customer accounts. If the account has too many attributes that resembles a customer account then the CBOE is likely to rule that the account is a customer account. We and most CBOE registered firms have gone to great lengths to define sub accounts as proprietary, not customer accounts.
  9. Yes, as Mav says. You gotta figure that a retail customer would NOT allow the firm to keep any share of profits, so by default they are a prop trader.....subject to some interpretation of course.

  10. CQNC


    Interesting, considering GS and JPM, are shuffling their props to manage "customer" accounts now. They must be "advising" their "customers" to sign trading authorisations or something new akin to that definition allowing their prop traders to "manage" their funds as if part of their new "hedge fund" model. What a shell game.

    Where's the ball?
    Nope, not here.
    Not there either.
    Nope, guess again.
    Look a fourth time and you're the SEC.
    #10     Oct 4, 2010