ecn question

M

mrmoose

According to

http://www.nasdaqtrader.com/trader/new
s/2006/headtraderalerts/hta2006-221.stm

a if you do more then a certain volume your ecn take fee goes up to .00027 and your rebate goes up to .00025. Do all the accounts in a prop firm count as one to meeting the volume threshold? Maybe Don can answer that for me.
 
Yes, all the traders in a prop firm are pooled together to come up with monthly volume figures. However, it's not only the prop firm you work for, but rather all the prop firms that trade through a broker/dealer that count towards the volume traded when figuring out if it meets the levels for the nasdaq discounts. Its not automatically passed thru to the your prop firm, and they would have to make a deal with the broker/dealer that if they contributed a certain percentage (or the whole amount) of the volume they will get the discountd rates. Also, your prop firm would then have to decide whether they are going to pass this thru to their traders. 50mil removed and 30mil added a month are tough to reach for a broker/dealer unless they have a lot of groups/traders.
 
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