How does this work?

totti · Mar 9, 2003

Hello

Im just wondering how this business model works.
Are they earning only from commission?

thanks

Lobster · Mar 9, 2003

I would think it should work similar to that. But maybe we should ask them.

Momento · Mar 9, 2003

what firm and what business are we talking about here?

totti · Mar 10, 2003

sorry

I was talking about firms like Blight Trading LLC

nkhoi · Mar 10, 2003

it works well up until Momento asking "what firm and what business are we talking about here?"

MondoTrader · Mar 10, 2003

the answer to the original question is yes. They try to break even on actual profit/loss from trading. If the traders make profits that is nice because it keeps them trading, but not absolutely necessary.

Jayford · Mar 10, 2003

Quote from totti:

sorry

I was talking about firms like Blight Trading LLC

Yes. Sort of. I used to work there. They make money from commissions, which are pretty low, AND a desk fee which is expensive unless you do decent volume. The fee was $600 per month for the worst charting program I had ever seen, and Redi+.

They were mostly tape readers in my office and gave tech analysis little thought or investment.

The upside is that half the traders were long time vets, and the company is very honest.

Jay

hardrock375 · Mar 10, 2003

Quote from totti:

sorry

I was talking about firms like Blight Trading LLC

Is that a shot across Don's bow?

Don Bright · Mar 10, 2003

It sounds as if we're going to be discussing much of this on Thursday, right after the market close. So, send Andre some questions ahead of time, and I'll do my best to help out.

Don