***A new trader comes in with no capital.***
I will use an example of a trader on my team, brand new guy, no previous experience, no capital, started with 70% pay out, $4 ticket, 1.4 cent per share (no I did not give him this, the guy interviewed him did, but it is the same rate I started with), 100 shares, 2 positions.
Lowered to $3, 1.3 after his first gross positive week and increased position size to 200 and 3. He was up gross this week again and I will re-evaluate him on Monday (shortened week may be a fluke) and up him to 300 shares 4 positions most likely by then, along with his second monitor. A second reduction in commissions will also be in the cards to $2, 1.2 as he finally turned gross positive. Then a third reduction in commissions to $1, 1.1 when he finally gets a net positive. Then a fourth reduction in commissions to 1 cent per share (IB Rate) when he turns net positive for good. Along the way he will see numerous share size increases.
I say this to everyone on my team when they get their interview, ASK FOR LOW COMMISSIONS, DON'T WORRY ABOUT PAY OUT'S. You will not see a check for a while, and by the time you are close to a check I will make sure I find some sort of excuse to raise your payout to 85% (Typical rate for your first check, then within a month of that you should see 90%+).
Then again, not every team leader does this, check their policies. As far as I know, I am the only one who tells people that I will cut their commissions without them saying anything.
If you put down even a grand or so, you will probably start with no less than 80% pay out, $3 ticket, 1.3 cent per share. Put down 3K you will probably see $2, 1.2 cent per share.
Note: Ticket cost is one time per day per stock, so with a ticket cost of $2, trading 10 stocks would be $40 for the day, along with cents per share charges, regardless of how many shares you trade in that stock.
***A little more seasoned trader who can put down some capital***
Basically, if you have any kind of experience backed up by account statements, you go visit all of our competitors first, then come to us, we will make sure we beat whatever deal you get out there, it is just that simple.
It is really annoying of course when people are obviously bluffing us, but Walter is a big guy and he doesn't care as long as he gets you on board (as long as it is not some newbie asking for 95% pay out, 0.75 cents per share, Bloomberg terminals and such).
***A trader comes in 25K, he gets the full 95% payout and shares size increasing up as he proves himself right?***
Correct, you come in with 25K, we will have to match up with whatever Echo/Bright are coming up with, otherwise we wouldn't be in business wouldn't we?
***That is the 25K is just a deposit and after that any net positive gain is paid out at the full 95% right? None of this 25% holdbacks or whatever?***
Correct.
***1) The trader get medical/health insurance benefits right? Is that paid by the company or paid by the trader?***
Paid by the trader, there are a lot of packages to choose from at group discount rates.
***2) No desk fees or quotes fees or whatever right? What are other costs besides just commissions and ECN fees? No other HIDDEN fees??***
There is SEC exchange fees, but you already know that, you will NOT pay a desk fee as long as you show up to work everyday, even if you trade 500 shares each way a day. No hidden costs whatsoever.
***How's the technology/execution platform? Is it fast? Slow? Downtimes? How often? I know everyone has execution problems on some days? But what's the frequency? T-1 connections etc. right?***
Let's just say, it is more than acceptable. We use a T3 in our New York office. Keep in mind we are the second largest day trading firm (maybe not by Don Bright math but definitely so by breathing traders) in this country behind Schonfeld, we are not some shady shop running on a tight budget, we do not start new branches when we only have half a dozen people working in it including the cleaning lady, we offered our traders access to Direct Plus & Open Book the first day they were released, and we do our best to reduce technical issues when they occur.
IN CONCLUSION:
I am 100% CONFIDENT that Worldco offers the BEST POSSIBLE PACKAGE for anyone who is not already a proven profitable trader, anyone who gets into this business without at least giving us a call has been seriously misinformed.
For those already bringing home six figures, you write your own deal anywhere you go so The Worldco Advantage is not as significant. For NYSE, we CAN and WILL outbid anyone else on the street, visit our competitors, then come to us, we will smack their rates down the same way I was smacked by the princess last Friday.
Thing of beauty, brah!