Mark Cuban pushes for 20 cents per share tax on every roundtrip.

Liquidity

US stock transaction tax from 1916 to 1966.

NYSE average daily volume in 1961: 4 million shares verus some 2 billion today.


The government gets its share up front whether you lose or not. Imagine that.

Imagine having a job or business and paying the new year's taxes on the 1st of the year before you are allowed to work or conduct business for the entire new year. And whether or not you still have a job or are still in business a month later or even make a profit.



In other countries that still have a transaction tax, the governments will raise or lower the tax trying to manipulate the direction of the markets instead allowing a business environment that would grow earnings.

I have noticed on world markets when it is instituted or increased, the markets drop. When they lower the tax in a declining market, the market continues to drop as fast.
 
Quote from libertad:

The tax protects inefficiency.....

The brokerages in Europe and Asia do not want to give up the commission collusive spread business.....just review the US court cases....

This tax is going to disappear once companies like BATS get into the picture....in both Europe and Asia...

It was very difficult for the US brokerages to give it up...they fought against efficiency and lost ...in the US....

Efficiency will win at the end of the day....


The choice is clear.....

When the public of Europe and China have a choice to pay $100 for a transaction which includes a tax, collusive bid/ask by broker.....or 10 cents.......

Gee....let me guess what will happen.....

Just a matter of time......and just a little bit of internet eduction to Europeans and Asians....

This is not rocket science....

To bet that Europeans and Asian would rather pay $100 when they could easily be paying 10 cents with just a signature on a piece of paper....would be like betting that phones with wire attachments are easier to deal with than phones without wires....

Not to mention the billions to be saved by the European and Asian retirement plans in transaction and spread costs.....

All the public needs.... IS TO KNOW....

And the catalyst will be BATS...or a company like them.....

The US is ahead of the curve.....Europe and Asia are behind the curve.....but will catch up fast....

Money is dear to the Chinese......They would burn a politician at the stake if they did not allow 10 cents versus a $100.....

The problem in the US is political design....People with a political podium can enact laws about a subject matter they know nothing about....For this very reason the system is deeply flawed....

I doubt Cuban or anyone in his family has ever bought a stock.....Stocks are those things run by crooks in New York.....
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What is this "BATS" you are mentioning? I have never heard about that.
 
Quote from Avid_Consumer:

maybe i am retarded. help me out... i'm certainly open to that possibility.

should a transaction imply the intention to own an asset?

is it sustainable to conduct a financial economy increasingly based on the intention to profit off the rules of the system rather than the value of the actual assets?

should the participants who hold no stake in the sustainability of the economy have to purchase that right in order to participate?
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Don't bother, you are trying to make traders accept that they are just leeches on an overleveraged overblown financial system (since any real production has been offshored or condemned). Not going to happen in this "me me me" society.

Mark Cuban is an asshole and he is pushing an agenda meant to diminish an individuals ability to earn a living via speculation. He is a joker, who did get extremely lucky, but he does have some brains.

While I do believe excessive speculators & "liquidity providers" are just leeches, a tax is not the way to correct the problem. Bringing some viability to the real workers & producers of the world is what needs to be done. But instead, you have farmers who actually grow the food we need, barely getting by while worthless leeches of the financial industry are making a nice living or more.
 
http://www.batstrading.com

Now entering Europe....

Rapidly grabbed market share from NYSE and Nasdaq.....

Watch it happen.....

This will be like shooting ducks in a barrel....

And is proof positive that the actual computer banks of the exchange can be in any country....

The exchange is just a few computer banks...and internet access....

That's it...

The pseudo front running game that the NYSE used to play is over....

The same front running spread game by market makers is over....

What has to happen is the allowance of...and the proper basic rules and regs...very boiler plate...

This is very important stuff....for true globalization ....wealth distribution....the list goes on.....
 
Quote from libertad:

...
The pseudo front running game that the NYSE used to play is over....

The same front running spread game by market makers is over....
...
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http://www.finextra.com/fullstory.asp?id=19181

27 October 2008 - 10:53
Nyse abolishes specialists as Bats circles

The New York Stock Exchange is to banish the privileged position of specialist firms on the trading floor as it bids to keep pace with competitors operating on faster automated platforms.

Under the new rules, filed by the Nyse in June and approved Friday by the SEC, specialist firms will be rebadged as Designated Market Makers who will be rewarded for adding liquidity and taking incoming orders during volatile markets. But the DMMs will no longer get an advanced look at the order book - a practice which has slowed trade reaction times and gives the floor brokers an unfair advantage over competing firms.

Lawrence Leibowitz, Nyse Euronext's group EVP in charge of US markets and global technology, says: "Fast, electronic trading is the norm now, and our trading customers are looking for us to go beyond just fast and electronic - to offer something more. They want a market that encourages participants to add liquidity and helps them trade larger orders more efficiently."

Implementation of the new initiatives begins today and will be completed in November, he says.

SEC approval of the measures coincided with the launch of Bats Exchange as a national securities exchange. The Kansas-based ECN operator Bats Trading got the green light from the SEC to adopt formal exchange status in August.

Bats CEO Joe Ratterman says: "We look forward to participating directly in the national market system while competing on a level playing field with our primary competitors, Nasdaq and the New York Stock Exchange."

Bats Europe, the US group's multilateral trading facility is also gearing up for launch in London on Friday this week.
 
Get it now ??????


The Kansas-based ECN operator Bats Trading got the green light from the SEC to adopt formal exchange status in August.


What this means is that the only thing keeping an exchange in the US is a pen and ink.....
 
Quote from GermanTrader:

I will not feel much impact of this tax because I am not a scalper.
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The impact of a tax will be huge except for the buy and hopers among us. Less liquidity, bigger losses, smaller gains, higher tranaction costs to name a few.
 
:confused: GermanTrader?

Just trying to get things stirred up around here?

Quote from you on 9/9 from another thread:

http://www.elitetrader.com/vb/showthread.php?s=&postid=2059910&highlight=scalp#post2059910

Disagree. I began trading two contracts of eminis with $1,500 and would do it again tomorrow. I scalp seconds to minutes, do not hold long and never go overnight, so drawdowns are not an issue. I use hard stops and hard profit limits. I am glad I started with a broker who imposed overnight margin on intraday futures, so I could learn with a large safety net. However, after one has a system proven and money management well in hand, there is no reason not to leverage your account to the intraday maximum. I now use a $300 margin on eminis and have yet to see a margin call. It's been 8 years. The warnings against low margins are for beginners only.
 
This is very simple....

Some are just too thick to get it and are about as intelligent as some of the US politicians....

For many years ....traders worked to close the bid ask spread......People do not notice it because it is not posted as an expense.....

Let's speak in simple terms.......

Would a large pension plan whose turnover rate is very small rather pay $32 million in true transaction costs....or $3 million in true transaction costs ?


Case closed ....

If the fucking morons cannot get this .......god bless 'em....

Just no salt in the bottle.....

This is why countries such as Haiti exist....versus the likes of Germany....
 
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