Penson - What's this all about?

Don,

How come I don't get that fuzzy feeling when you the quotes on "strategic partner"? If you have more information about PEAK6 and Apex Clearing, that would be much appreciated. If I need to move my accounts, then I will do it.

I liked MB Trading so far, but there is nothing that will keep me there if safety of funds is a potential problem.
 
From what I read, Penson Worldwide still holds a majority stake in Apex Clearing. Seems to me to be essentially the same Penson under a different name with an agreement to share profits with the bailout partner Peak6. As for Penson Futures clearing sell, that seems to be a real Penson sell with an agreement for sharing any profits with Penson Worldwide. I guess Penson Worldwide now hopes no more wheels fall off their "horse cart".
 
Quote from JB3:

Don,

How come I don't get that fuzzy feeling when you the quotes on "strategic partner"? If you have more information about PEAK6 and Apex Clearing, that would be much appreciated. If I need to move my accounts, then I will do it.

I liked MB Trading so far, but there is nothing that will keep me there if safety of funds is a potential problem.
More...

I know and trust Ross and Steve so I wouldn't worry about your accounts at this point. I think that the new organization is being run, as CEO, by the new people. So I don't think the actual Penson group is the majority ownership. I can't say this for sure, haven't spent too much time on it. Send me a PM if you get more info...

Don
 
Quote from Catoosa:

From what I read, Penson Worldwide still holds a majority stake in Apex Clearing. Seems to me to be essentially the same Penson under a different name with an agreement to share profits with the bailout partner Peak6. As for Penson Futures clearing sell, that seems to be a real Penson sell with an agreement for sharing any profits with Penson Worldwide. I guess Penson Worldwide now hopes no more wheels fall off their "horse cart".
More...

From reading Penson's 8-K it sounds like it's actually PFSI (the clearing operation) and not Penson Worldwide that now own's 94% of the this new Apex Clearing. To me it sounds like they took the best part of Penson (PFSI - the clearing operations) and teamed that up with Peak 6 to create Apex. I guess that way they leave the other stuff with Penson Worldwide?

http://biz.yahoo.com/e/120601/pnsn8-k.html


In connection with the above described transactions, PFSI entered into an Assignment and Assumption Agreement with Apex Holdings (the "AAA"), dated May 31, 2012, pursuant to which PFSI agreed to (i) sell and transfer to Apex Clearing the customer and correspondent accounts and related contractual rights of PFSI under its securities clearing contracts and other related assets,
(ii) transfer to Apex Clearing certain related liabilities and (iii) contribute net assets valued at a total of $90.0 million towards the regulatory capital of Apex Clearing (collectively, the "Acquired Assets") in consideration for the issuance of membership interests representing approximately 94% of the equity interests in Apex Holdings.

But it also mentions this:

ACS has the option, from time to time, to purchase all or a portion of PFSI's membership interest in Apex Holdings at an amount equal to 120% of the then current value of PFSI's capital account.
 
Quote from listedguru:

From reading Penson's 8-K it sounds like it's actually PFSI (the clearing operation) and not Penson Worldwide that now own's 94% of the this new Apex Clearing. To me it sounds like they took the best part of Penson (PFSI - the clearing operations) and teamed that up with Peak 6 to create Apex. I guess that way they leave the other stuff with Penson Worldwide?
More...

Yes, I think you are correct. It has been several days since I was reading all of the Penson news releases on my news feed. One other thing if I remember correctly was the 5.5 million dollar loan from PFSI to Penson Worldwide a few days before the announced sale of Penson Futures clearing. That sale brought in $5 million which I doubt was just a coincidence that the amount approximately equaled the amount of the loan.
 
If you wake up on a Thursday (or a Tuesday) morning and you are unsure of the firm your money is at why would you not have it wired out that day? I may be missing something here but it seems to me that this Penson nonsense has gone on for many months -- maybe a year -- and yet people still entrust their funds to them.

Why not make it even more exciting. Find a Greek bank that will hold your money in Euros and that way you can wake up every morning and see if it has been converted to Drachma.

Don, I'm sure your friends are great guys but do you have any of your money with them? For those of you that understand the situation and are comfortable there is no problem but for everyone else there is a problem with a simple solution. BTW ... I hear they are bringing the soap opera Dallas back. So, if you need drama you can replace this saga with that one
 
I have a few more trades that I need to taken care of. Once those trades are settled, hopefully by the end of next week. I plan to move my account to another broker-dealer for the time being. I'll probably just move it to Charles Schwab since I already have another with them.

The problem is that account transfers can take up to 3-6 weeks to complete, and I won't be able to trade during this transfer period. I can't liquidate my position and wire transfer because of tax implications.
 
JB3....

As you may have seen over the years I am here to help clarify issues if they arise in regards to MBT. I suppose now would be one of those times. I think in this case you may have missed the mark a little but I understand where you are coming from. Penson in the recent quarters has been under pressure as to their viability. This is when most expressed concern and fairly so. Now that Penson has formed a partnership with Peak6 and Broadridge, which jointly carries billions on the balance sheet, it seems this would be more the time for comfort and relief. This creates an entity that appears to be very stable going forward while shedding the concerns of late. In any case, regardless of what anyone says or does, you should always do what makes you the most comfortable. I never want to lose a customer by any means but again, you should always do what gives you the greatest comfort level. That being said if I can help you in any way please do not hesitate to private msg me. Im happy to discuss further. I hope to see you stay on as a customer as I think the concerns about Penson are behind us but if you are not able to I certainly understand.

Regards,

Steve
 
didn't Penson keep everyone's money in seperate accounts at JP Morgan? (I may be wrong, if so correct me)

Where does each customer's money sit now that this Apex Clearing took over the accounts?
 
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