Bright Trading's new payout model

Status
Not open for further replies.
Quote from ChkitOut:

so where did the 80% figure come from, why not 90, 95 or 98?
More...

Does it matter? GS determined the number. How does GS determine how much they want to ass rape their clients on OTC transactions? Maybe they just pull the number out of a hat every time a client calls for a quote on a 5 year 6% floating rate Brazilian bond denominated in Euros that converts into a MBS when long term rates hit 7% or when it starts raining in Chile whichever comes first.
 
Quote from Maverick74:

Does it matter? GS determined the number. How does GS determine how much they want to ass rape their clients on OTC transactions? Maybe they just pull the number out of a hat every time a client calls for a quote on a 5 year 6% floating rate Brazilian bond denominated in Euros that converts into a MBS when long term rates hit 7% or when it starts raining in Chile whichever comes first.
More...
but with all that pressure wont every clearing firm do the same? Does it matter where you move?
 
Quote from MohdSalleh:

but with all that pressure wont every clearing firm do the same? Does it matter where you move?
More...

I doubt it. There are huge differences between all the clearing firms. They all have their own specialties. GS has always been tight. In their defense, they have by far the best global operation and are the most capitalized.
 
Quote from Maverick74:

I doubt it. There are huge differences between all the clearing firms. They all have their own specialties. GS has always been tight. In their defense, they have by far the best global operation and are the most capitalized.
More...

So if there is no difference going forward as far as payout for all clearing firms, and 80% payout is common then futures trading and possibly forex is a better option? What are you looking at Maverick? Are you giving up on prop trading, or just going to take a hit as all clearing firms are going the same way?
 
Maybe that's why Don has only posted 3 times in the last month. Pretty strange for a guy that used to post 3 times an hour!
 
I'm unclear. You're saying prop firms not clearing with Goldman can still pay 100% but those clearing with Goldman, like Bright, can only pay 80% even to the top guys? That sounds strange. Why would anyone stay if they now have to give up 20%? Won't everybody just go somewhere they can keep 100%?
 
Maverick the biggest trader with his own money in all the usa trades threw a firm that clears penson. they are set up as a hedge fund and have 300-400 traders.theres not an equal to him on the planet as far as a manual trader goes. so if him and his 400 traders find penson just fine i don't see why anyone would have to clear gs.anyone doing high vol is a fool using bright as its costing them $100's of thousands a year in commish.
 
Status
Not open for further replies.
Back
Top