can i trust lightspeed with my money?

[Robert Morse]

Maybe because for "poor" people losing money is causing more financial damage.

I agree, but the smaller accounts are clearly protected, while the larger ones are not so clearly protected, even though they have been in the past.

 

[dumpdapump]

you mean up to SIPC limits, correct? Anything beyond one is at the mercy of the clearing firm. If someone decides to go rogue and mingle segregated client account assets then nothing holds them back. Question: Why are you guys clearing with Wedbush and not a larger firm? Cost? Would it not be a strong selling point if you could market your products stating that you clear with GS or UBS or other larger houses?

That would be incorrect. SIPC covers customer money/securities not the broker dealer's assets. All "customer" accounts are covered up to the limits, All.

 

[dumpdapump]

by the way, could you pls PM me and explain (or point me to resources on the web) which API solutions you offer? Do you guys have relationships with any fx ecns? Or are you strictly focused on futures and options?

I agree, but the smaller accounts are clearly protected, while the larger ones are not so clearly protected, even though they have been in the past.

 

[Robert Morse]

you mean up to SIPC limits, correct? Anything beyond one is at the mercy of the clearing firm.

It is NEVER up to the Clearing firm. If there is a SIPC event, SIPC over sees the transfer of your assets to another clearing firm.

 

[Robert Morse]

relationships with any fx ecns?

We don't offer FX, only CME FX futures.

 

[zdreg]

Sorry for 4 comments in a row. I slept through all this!

One more comment. I find it interesting that the accounts that are well under the SIPC limit are more apt to ask about safety of assets than my larger accounts and hedge fund clients that are well above SIPC limits.

people with assets above SIPC limits do the due diligence to satisfy themselves that their funds are safe. small investors are unable or are unwilling to make the effort.

 

[HobbyTrading]

This topic has meanwhile reached page #10, but the topic starter has not been seen any more since the very first page. Funny.

 

[Scataphagos]

Lightspeed Trading introduces accounts to Wedbush Securities which is where your account will be custody and protected by SIPC and Excess SIPC. We are FINRA registered (and NFA) broker dealers. Yes, you can trust us.

I've been out of the regulatory loop for a while... but does SIPC insure the futures accounts of Wedbush?

 

[speedo]

SIPC does not insure commodity futures contracts.

 

[Robert Morse]

speedo is correct. Futures are protected by the segregated account structure and don't have any insurance that I'm aware of. I wish after MFG that the NFA created one and set aside some of the NFA fee overtime to fund it. Instead, they dropped the fee from $0.02 to $0.01. Even $100,000 per account would be good.