SEC needs to CRACK DOWN on "Prop" firms

[Hydroblunt]

Quote from chewbacca:

remember......those refco guys had countless millions in deposits.......and they lost it all due to no fault or action on their part......you may think tough shit......but what if you were in thier position??....they had families and obligations like all of us.....it just so happens that thier lawsuit opens up a legal can of worms.

It's called a bankruptcy. Look it up. No wikipedia link for you, I'm just wondering whether you can get to it yourself.

And, on top of that, even if you are true prop, once you make money, you still have to hold a balance in your account. Yeah, that leverage isn't free, the firm is not gonna take 100% of the leverage risk when you started upping your trading.

Now do you really wanna go into analysis of this? Do you really want me to explain to you that even if your CUSTOMER deposit is a Bailment, it still does not mean you will get it back under a BK process. Of course, depending on the books, you may be able to file charges against the owners of the firms and their personal belongings for fraud and misuse of funds. Tell me where it goes over your head.

You are the perfect example of people that get hurtful government regulations in place. Then they wonder why things got worse.

 

[chewbacca]

Quote from Maverick74:

Wait a minute. As far as I can remember, Refco had a retail arm and a prop arm. The guys under the prop arm have no re-course, why should they?

the guys under the prop arm should have no recourse if they didn't put up any of their own capital which clearly they had to do......hence the lawsuit.

on a seperate note look you guys can argue about how bad government regulation is......and you won't get much argument out of me as several guys and i were pretty much forced out of our firms......i thought it was all 100% legally legit - i didn't have a clue just hints of a clue till the robert green article.....and he clearly knows his shit......but now you guys sound like blind faith anarchists.......your attacking government without even considering the important legal issues in the industry you work in.

 

[Maverick74]

Quote from chewbacca:

the guys under the prop arm should have no recourse if they didn't put up any of their own capital which clearly they had to do......hence the lawsuit.

on a seperate note look you guys can argue about how bad government regulation is......and you won't get much argument out of me as several guys and i were pretty much forced out of our firms......i thought it was all 100% legally legit - i didn't have a clue just hints of a clue till the robert green article.....and he clearly knows his shit......but now you guys sound like blind faith anarchists.......your attacking government without even considering the important legal issues in the industry you work in.

Did I miss yesterday's episode of the "Young and the Restless"?
LOL. Exactly how were you forced out of your firm and why were you forced out of your firm?

 

[chewbacca]

not forced out as in get the fuck out of here but as in........but as in sorry but we can no longer provide you with 20-1, you'll have to settle for 4-1 based on the advice of xxxxxxxxxx........ at 4-1 we couldn't trade our strategies and the sudden change obviously raised red flags.....the robert green article is very informative, nasd moving slowly.....not really trying to shock the industry, giving firms an opportunity to adapt.....okay that's all for today, peace.

 

[Maverick74]

Quote from chewbacca:

not forced out as in get the fuck out of here but as in........but as in sorry but we can no longer provide you with 20-1, you'll have to settle for 4-1 based on the advice of xxxxxxxxxx........ at 4-1 we couldn't trade our strategies and the sudden change obviously raised red flags.....the robert green article is very informative, nasd moving slowly.....not really trying to shock the industry, giving firms an opportunity to adapt.....okay that's all for today, peace.

This still makes no sense. Was this a retail firm or prop firm? Are you a licensed series 7 trader? Is this a reputable firm or some sub LLC run by a small group?

 

[chewbacca]

sorry i don't want to go there......its a great firm and i don't want to hurt their reputation over something they had no control over......i've requested that magna close this thread.......the robert green article is the most informative post on this thread.

 

[Maverick74]

Quote from chewbacca:

sorry i don't want to go there......its a great firm and i don't want to hurt their reputation over something they had no control over......i've requested that magna close this thread.......the robert green article is the most informative post on this thread.

Dude, if you are not going to answer these questions, stop spewing this hard luck story. So far you have not backed up any of your claims. I don't care to know the name of the firm, I simply asked you if you are a licensed trader and if your firm is a retail or prop. I'm going to dismiss this entire thread as 100% grade A american horseshit until proven otherwise. Good luck opening a retail account.

 

[Magna]

At chewbacca's request this thread is closed.