I'd rather not discuss that stuff out in the open, my rates, payout % etc.
payouts & other stuff: newbies
- Thread starter tofenomeno
- Start date
Exactly. Cause there is hidden motive.
Are you new or experienced? If you're new, your deal is fine being that you won't be making money anyway or trading any significant volume so you need not concern yourself about rates until you can even prove to yourself you can do gross positive. Can you even say what kind of monthly volume you do? If you cannot, do not worry about rates yet.
Let's say you have some but limited experience or this is 6 months later and you are doing ok. You go and ask for a better rate as well 99-100% payout. If you manager says no or starts bullsh*tting you say "ok no problem" and go shop around. It's a simple as that.
Dude, come on, you are a rebate trader, or at least started as one. I think it has been made quite clear several times the different commission structures required for rebate trading vs "regular" trading. (Plus, let's not forget the special ATS you got to milk for god knows how much money.)
I don't want to get off topic.
1 cent a share with that payout for a newbie is decent. At first he will be doing no more than 5,000 shares a day, as long as he does not overtrade himself silly.
What the original poster has to watch is his volume and progress. As your volume starts rising, make sure to keep on top of your rate. DO NOT be scared to say smth if you feel you deserve a lower rate and DO keep on top of what the going rates are in the industry. For example, at one million shares a month, you can get .005(half cent) a share (or less) without a problem.
I dont have great insight into what rates US prop firms are giving to newbies, but I do know that mnx is not a rebate trader, was never a rebate trader. I also have developed the attitude over time that money is money, so however you get it, if its legal then good for you. No need to look down on someone who gets money X way, when someone getting money Y way is the ET socially accepted way of trading. (whether it be a random ATS, rebates, momo, arb.. whatever)
Come on guys, there are a zillion ways to make money in the markets, and these days things seem to be getting easier (again) - with being paid for providing liquidity on listed stocks (super), and collecting a good rate of interest on short stock sales.
It's the bottom line that counts, and any good firm will lower rates as time goes by and monthly volume increases. But, think about this for a second. Two of our larger groups of traders actually pay a premium (over their commish to us and Goldman) for the benefits that make them more money (automated programs, mentoring, speciality mentor groups, etc.).
For a while there, just after decimals, (mainly) scalpers were really struggling (now they have just chaned styles for the most part), and thought the only way they could make more money was to take more risk and looking for cheap rates. Well, in most cases, that thinking backfired.
Sometimes it really takes a full service "team" behind you, especially for remote traders. We offer all the free advantages we can, but still many traders choose to "pay a dime to make a dollar" so to speak.
All the best,
Don
It's the bottom line that counts, and any good firm will lower rates as time goes by and monthly volume increases. But, think about this for a second. Two of our larger groups of traders actually pay a premium (over their commish to us and Goldman) for the benefits that make them more money (automated programs, mentoring, speciality mentor groups, etc.).
For a while there, just after decimals, (mainly) scalpers were really struggling (now they have just chaned styles for the most part), and thought the only way they could make more money was to take more risk and looking for cheap rates. Well, in most cases, that thinking backfired.
Sometimes it really takes a full service "team" behind you, especially for remote traders. We offer all the free advantages we can, but still many traders choose to "pay a dime to make a dollar" so to speak.
All the best,
Don
Ok whatever, I don't wanna get off topic, but to be less descriptive, you guys were with Swift which has a certain specific commission structure quite different from cookie cutter equity "prop" NYC firm. The two commission structures are not interchangeable, they are geared toward a certain style of fills. So of course to mnx, 1 cent a share for a new guy seems way too much, when it really is not.
My main point is that the 1cent/share for a new guy is totally fair, after all, what do you expect when you start? You cannot get the top rates if your volume cannot even come close to justify it, let alone your performance. I started at 1.5 cent/share but it kept getting decreased as time and my volume went up. The key was that I was making progress and I did make a strong effort to keep on top of my rates, getting them lowered whenever I felt it was deserved.
P.S. You guys get too defensive and project too much. I do not really mean to "look down" and mnx knows that from the PMs we exchanged over a month ago. If anything, I was quite jealous and a bit upset, cause I sure damn tried getting in on that cash cow back then but with no avail. You can search my posts and find that I give props to the guy who first discovered it & took advantage of it. I think enough ET posters gave you crap about it (I gave some too) and I am not trying to anymore.