Did someone blow out at Bright?

[atticus]

Quote from yobo:

So why does bright not allow traders to trade stocks over $100.

Smaller lots = less money for Bright. Why buy 300 shares of GOOG when you can buy 50,000 SIRI?

 

[EPrado]

I like Don and he seems like one of the good guys out there. But......it's very obvious why they don't want guys trading high price stocks.

 

[scorpion]

hi don.. traders are not allowed to trade stocks over 100.00 without permission? can you clarify, does not make sense..

 

[Don Bright]

From previous page:

We simply ask for traders to be permissioned, primarily to protect traders from themselves (trading GOOG for example). We give most people enough room to trade most stocks. Our feeling is that we get a lot of slippage in the higher priced stocks, that's all.

We had a lot of traders ask for "permission" - most received it. You have to keep in mind that we have a lot of new traders still learning, and that's who we try to protect. FWIW, they are trading in very small lots anyway as they are honing their skills.

For most it was not even an issue.

Don

 

[scorpion]

that makes sense, i guess its on a individual basis with your traders that can handle risk based to their strategy etc. thanks

 

[yobo]

Thanks Don. Makes sense.

 

[The Kin]

Quote from Prez:

About an hour ago, I happened to browse Bright's website and noticed a "New" message that traders may not trade stocks $100 and over without express permission from the bosses. While typing this, I tried to access www.stocktrading.com to use the exact language of the trader alert and keep getting "connection has timed out" messages. What gives?

 

[Don Bright]

Quote from atticus:

Smaller lots = less money for Bright. Why buy 300 shares of GOOG when you can buy 50,000 SIRI?

Not the case at all....first off, many traders simply request to trade stocks over $100, no problem. New traders don't understand the gigantic slippage that can occur with expensive stocks, and we do our best to help in that regard.

We actually encourage traders to trade more shares by cutting per share pricing for shares above 1000 on any order.

(I know you understand, Atticus, I was basically answering the poster about the $100 stocks).


Don

 

[Magna]

This year-old dormant thread should never have been revived when there is a current discussion going on here:
Rumor: Bright Trader blows up and loses millions