Modification/Cancellation fees are illegal

haha, thank you for pointing it out. assassination. There are two arrrrrssses in it.

:p

Quote from hardrock375:



Yeah, right...

You cannot even spell assassination.
More...
 
Quote from def:

From QDZ's lips: For example, I trade around 500 transactions per month. I will only trade about 125 next month

Hmmm, that works out to about 25 trades per day. For someone moaning about the PDT rules, and if recall screaming conspiracy about 2K account minimums, unless you're a king of flipping one lots of WCOM, I venture a guess that you're not being totally honest here.
More...
My thoughts exactly :D
 
Quote from qdz3:

When you think about it again and again, this is absolutely illegal. It destroys the basic principles of auction style markets. The option exchanges are digging their own graves.

:p
More...

You know, on Ebay...you can't withdraw your bid at all!
 
Quote from corvus:



You know, on Ebay...you can't withdraw your bid at all!
More...

so brother corvus.. you think changing an order form 9 to 8.90 justifies charging a fee. If so why did they never do this in the past 18-20 years. Why?

People gotta be able to recognize ethical breaches and greed when they see it. The off-floor traders are their bread and butter. Without them including hedge funds and the like... there are no options exchanges. This is pure, unadulterated greed and (imho) a serious breach of ethics. Further I'd like to know if they even solicited opinions from the public traders or held hearings?

I called the CBOE today and talked to someone I know there. He had trouble even answering my questions about this nonsense. Had to check further; "calling me back" ! Give me a break. What is this a "Kangaroo" court/exchange where no there are no rules, no procedures or laws. Where is the SEC in all of this? :-)

best regards,

I
 
Thank you very much. Send your mail/email copy or call them. Let them know what is happening!!! Don't let this be the second PDT rule. Don't let them walk away from this or you will regret to see it applies to stocks and futures fairly soon.

:p

From: "ENFORCEMENT" <ENFORCEMENT@SEC.GOV> | This is spam | Add to Address Book
To: "'qdz'"
Subject: SEC Division of Enforcement Confirmation Reply
Date: Mon, 31 Mar 2003 10:44:02 -0500

Dear Sir or Madam:

Thank you for your recent e-mail to the group electronic mailbox of the
Division of Enforcement at the United States Securities and Exchange
Commission in Washington, D.C. We appreciate your taking the time to
write
to us. This automated response confirms that the Division of
Enforcement
has received your e-mail.

Please be advised that the Commission will be switching to a new
complaint-handling system that we hope will let us process your
information
more quickly and efficiently. The launch of the new system has been
delayed
due to technical considerations. As part of the transition to this new
system, we will also be revamping and updating the online complaint
form
found on the Commission's website www.sec.gov <http://www.sec.gov>, as
well
as adding a new form for general legal questions. In addition, we will
be
closing this mailbox and giving investors a new SEC email address to
which
complaints and other information should be sent. Our apologies for
the
delay in effecting these changes. We will be passing along more
information
on the timeline for these improvements as it becomes available. Again,
we
appreciate your patience.

We are always interested in hearing from members of the public, and you
may
be assured that the matter you have raised is being given careful
consideration in view of the Commission's overall enforcement
responsibilities under the federal securities laws. It is, however,
the
Commission's policy to conduct its inquiries on a confidential basis --
so
this may be the only response that you receive. If your complaint is
more in
the nature of a consumer complaint (such as a dispute with your broker
or a
problem with your brokerage or retirement account), you should contact
our
Office of Investor Education and Assistance -- they may be able to help
you.
You may reach the Office of Investor Education and Assistance via
telephone
at 202-942-7040 or via email at help@sec.gov <mailto:help@sec.gov>.

The Commission conducts its investigations on a confidential basis to
preserve the integrity of its investigative process as well as to
protect
persons against whom unfounded charges may be made or against whom the
Commission determines that enforcement action is not necessary or
appropriate. Subject to the provisions of the Freedom of Information
Act,
we cannot disclose to you any information which we may gather and we
cannot
confirm to you the existence or non-existence of an investigation,
unless
made a matter of public record in proceedings brought before the
Commission
or in the courts.

If you are unsure where you should direct your inquiry or you want to
learn
more about how the SEC handles inquiries and complaints, please visit
the
SEC Complaint Center at www.sec.gov/complaint.shtml
<http://www.sec.gov/complaint.shtml>.

Should you have any additional information or questions pertaining to
this
matter, please feel free to communicate directly with the undersigned
at 450
Fifth Street, N.W., Washington, D.C. 20549-0908 or via e-mail at
enforcement@sec.gov <mailto:enforcement@sec.gov>.

We appreciate your interest in the work of the Commission and its
Division
of Enforcement.

Very truly yours,

S/
John Reed Stark
Chief, Office of Internet Enforcement
United States Securities & Exchange Commission
More...
 
Quote from iceman1:


so brother corvus.. you think changing an order form 9 to 8.90 justifies charging a fee. If so why did they never do this in the past 18-20 years. Why?
More...

Nah, I'm not saying it's a good idea....it can't help their business. Especially since the credits do not last over a day...so if I cancel an order this morning because I tried to split the huge bid/ask and it moved away from me, I'll pay some $ even though I didn't get filled? (unless it was a DAY order and I just wait all day for it to expire...hah) Sucks.

I was just pointing out that the cost and method of doing business is different for every forum. I mean, in commercial real estate, it's common to have to put 7% down just to get an inside look at the place. You better not pull your offer there, eh?
 
Well, I cannot believe that people are reasoning about this rule or try to "improve" it. This is a holy crap illegal from bottom to top.

:p


Quote from corvus:



Nah, I'm not saying it's a good idea....it can't help their business. Especially since the credits do not last over a day...so if I cancel an order this morning because I tried to split the huge bid/ask and it moved away from me, I'll pay some $ even though I didn't get filled? (unless it was a DAY order and I just wait all day for it to expire...hah) Sucks.

I was just pointing out that the cost and method of doing business is different for every forum. I mean, in commercial real estate, it's common to have to put 7% down just to get an inside look at the place. You better not pull your offer there, eh?
More...
 
Quote from qdz3:

Thank you very much. Send your mail/email copy or call them. Let them know what is happening!!! Don't let this be the second PDT rule. Don't let them walk away from this or you will regret to see it applies to stocks and futures fairly soon.

:p



Amazing bull in that letter they sent you... and I don't mean bull market. :eek:

the SEC just plain does not do their job for anyone but the RICO violators on wall street. IF there was ever a conflict of interest in the USA... and there are many... this has to be the biggest. The SEC is the Fox guarding the public (hens)! What a joke. Almost makes a smart person want to puke when you see 'SEC'!

Just got off the phone with CBOE and they're sending me information on the origination of these cancel fees back in 2001; and the SEC information on approval of same. Remember that if a hedge fund cancels a 500 lot they get charged the same so-called "cancel fees" as a public investor/trader canceling a one---five lot, on for example, an index option. Yep that's good old american hypocrisy. Big money talks and the rest of US society gotta kiss their frickin arses.

I see no reason these fees should even be assessed in the first place against the member firms of the options exchanges. So now that they're being passed on to off-floor traders you won't just have a .10 spread on some options or more (rather than decimal spreads like the underlying) but a $1.30 point spread.

But NO such cancel fees on equity traders. Anyone think that might be unconstitutional. Duh?!
I:cool:
More...
 
You must log in or register to reply here.
Back
Top