Optionsellers.com goes bust and the apology video is painful to watch

[FriskyCat]

Why would he have to? Commissions do not "have" to includes exchange and data-feed fees.

He's right. The guy said his commish was X, and there would be extra on top, such as exchange and data fees, which was Y. *shrugs*

That seems par for the course.

Yes...in 1993.

 

[JSOP]

And he had the audacity to call his clients family.

Yes this is what you get called when you pay $69 per contract per trade, family! LOL

 

[ironchef]

Their fees were the $69 round trip.

To collect $50K per year, they then traded 725 times each year, or 14-15 times a week. They must be day trading options?

 

[JSOP]

To collect $50K per year, they then traded 725 times each year, or 14-15 times a week. They must be day trading options?

Nah I am sure they share some of that commission with FC Stone.

 

[themickey]

Yes this is what you get called when you pay $69 per contract per trade, family! LOL

When strangers call you "buddy, mate, bro, family, pal, my darling...." Watch Out!

 

[JSOP]

When strangers call you "buddy, mate, bro, family, pal, my darling...." Watch Out!

Yes they should be calling me "Sir" or "My Lord" or "Your Majesty" LOL unless one is really related to them like in Bernie Madoff's case then you would have no choice but to be called "family" and get conned all your life savings.

 

[Overnight]

Yes they should be calling me "Sir" or "My Lord" or "Your Majesty" LOL unless one is really related to them like in Bernie Madoff's case then you would have no choice but to be called "family" and get conned all your life savings.

Haha, at least Bernie had a complicated Ponzi schema going on. The JC guy just went balls to-the-walls naked short, pure risk, no safety net. So he had a much simpler way to screw everyone?

This is good, yes? *roffle*

 

[LacesOut]

This is robbery. $69 per contract

Yes of course. These are the last remnents of bucket shops past.
I haven’t seen his returns but it appears he was a good trader?? Until he wasn’t.
Even if he was charging $0 rips he would still be BK today.

 

[LacesOut]

Yeah but that $69 would include what he would have to pay FC Stone. Assuming he places all of his trades broker-assisted which would incur the most expensive commissions. TD Ameritrade charges $45 for broker-assisted trades for stocks, assume they charge the same thing for options on futures. So that would leave him (69 - 45) = $ 24 X 300 contracts that would be 7.5K per month, for 12 months, that's $90K per year, commissions/fees pocketed by him. So that article was right. That would be his annual fee, not in management fee but in pocketed commissions. Now that's what he charges for any account sizes below $1 million. So let's say the account size is $500K, 90K/500K = 18% fee. So he has to make basically 43% return in order to give his clients 25% return net of fees according to this calculation.

Watch Guy’s firm pockets the whole $69, I’m sure.
The $4 is FC Stone’s.

 

[JSOP]

Haha, at least Bernie had a complicated Ponzi schema going on. The JC guy just went balls to-the-walls naked short, pure risk, no safety net. So he had a much simpler way to screw everyone?

This is good, yes? *roffle*

Balls to the walls? That is OUCH!!! LOL But he DID have safety net!!! He bought 26 calls at $0.009 each for the 244 shorts that he shorted at $0.05 each!!! He HEDGED!!! LOL I am SURE his lawyer would bring this up as proof that he did vertical spreads according to his POA, I am sure!!

And the best of all, you can't even call him a crook!! He REALLY invested their money and invested their money like "they were his family". If this is how he invests somebody's money like they were his family, wonder how he invests somebody's money not like they are his family, worse like they are his enemy? Very scary dude indeed...