Self Clearing and Pricing
- Thread starter Don Bright
- Start date
Earlier in the thread it was stated clearing costs @ 1/3 1/4 etc. Some may pay this because they are starting out because they just don't know better. In addition these are costs a middle man will charge not the actual clearing firm. Any experienced principal should know they can get clearing much less.
I also feel that there is good value for .0055 per share! PD...I tried their stuff and I wouldn't trade on it for .0001 a share....the software just doesn't work!
Redi..I liked redi it was rock solid, but Introducing brokers that clear with SLK can't compete on price. Most firms clearing SLK get sucked in to a ticket fee and sometimes a ticket fee for the redi software.
Instinet...clears trades cheap! they charged an arm and a leg for taking liquidity, but clearing is cheap! The firm I trade at charges .0055 per share myself and 9 other traders. We have a good platform, bullets, other in house proprietary software, NYS Open book, 1st alert.
Andover .0035!
Hell... tradecast will even give ya .006
People can get a good rate they just have to work a deal! Commissions ARE negotiable..you can't deny it..it's a traders market!
Introducing BD owners you will dislike me for stating the following fact because it will cut them the middle man out!
TO GET THE BEST RATE YOU HAVE TO BYPASS THE INTRODUCING BROKERS AND TRADE WITH DIRECTLY WITH CLEARING FIRMS THAT SUPPORT THEIR OWN SOFTWARE! They are even in competition with their own BD customers!
Institutions can even hook up with capital market divisions and trade for free!
Clearing cost will be decreasing. It's a competitive market and it's getting more competitive.
I also feel that there is good value for .0055 per share! PD...I tried their stuff and I wouldn't trade on it for .0001 a share....the software just doesn't work!
Redi..I liked redi it was rock solid, but Introducing brokers that clear with SLK can't compete on price. Most firms clearing SLK get sucked in to a ticket fee and sometimes a ticket fee for the redi software.
Instinet...clears trades cheap! they charged an arm and a leg for taking liquidity, but clearing is cheap! The firm I trade at charges .0055 per share myself and 9 other traders. We have a good platform, bullets, other in house proprietary software, NYS Open book, 1st alert.
Andover .0035!
Hell... tradecast will even give ya .006
People can get a good rate they just have to work a deal! Commissions ARE negotiable..you can't deny it..it's a traders market!
Introducing BD owners you will dislike me for stating the following fact because it will cut them the middle man out!
TO GET THE BEST RATE YOU HAVE TO BYPASS THE INTRODUCING BROKERS AND TRADE WITH DIRECTLY WITH CLEARING FIRMS THAT SUPPORT THEIR OWN SOFTWARE! They are even in competition with their own BD customers!
Institutions can even hook up with capital market divisions and trade for free!
Clearing cost will be decreasing. It's a competitive market and it's getting more competitive.
Oh this is too good to pass up:
"GHansen says we have a "piss poor execution system"....that is just plain silly, and has only been brought up by firms who could not qualify for Redi Plus"
Don you have to be kidding. You're telling us that the only people who don't like REDI+ are people who can't get it??? Be serious. And who can't get it for cyrin out loud? SLK is dying for business and will give it to anyone with the money to open an account. This will be even more true if rumors of ETG leaving SLK are factual.
"...I mean, really, this is the preferred platform...and is being updated almost monthly to accomodate traders needs."
Monthly? Gimme a break. People who use REDI+ say there hasn't been a meaningful update since last fall. IMO REDI products is the slowest of any trading software firm BY FAR in terms of addressing traders needs and implementing new functionality.
"With the merger of Redi and Arca, we have one of the most reliable systems in the world."
Why do you keep trumpeting the ARCA/REDI merger like it has, or will, do ANYTHING for REDI+. REDI+ is software! REDI/ARCA are ECNs! ...Apples and oranges Don.
" **A side note** a competitor is about to lose access to Redi, which will bring quite a number of traders back to us since they insist on Redi."
It's more like SLK is going to lose them as a client!
"As far as proprietary trader tools, we offer full automation, complete tie in via Neovest."
Full automation??? What are you talking about? A cheesy basket program in REDI+? A rickety DDE opening only orders Excel spreadsheet? Pleeeeeze. And a complete tie-in to Neovest. What does that mean? You have Neovest and REDI+ on the same computer?? Yay!!
"Traders who put too much emphasis on the platform are usually kidding themselves anyway...ours does everything very well."
Firm's who put too little emphasis on the platform are either in the dark about current trading software, or not willing to get a hard core trading platform.
"We "offer" all the tools that are needed by traders, we can give traders all the bells and whistles if they want them, we simply train our people to trade in such a way that most don't bother with all the nonsense. Again, Redi has really come up to the plate and has leap frogged most other systems."
Nope. Sorry. No bells. No leapfrogging. Just the same old tired platform with a predominantly cosmetic facelift eight months ago.
Don. I don't want to go toe to toe with you but if you put up this type of info again it will get shot down.
....every
....single
....time.
You generally need 50+ million shares a month to get under 1/4 cent for clearing. If you know a firm that offers significantly less please prove me wrong. Execution fees, pass-throughs, overhead, technology costs, SEC fees, etc etc etc are all extra....middle man or no middle man.
What are the terms of the .0035 Andover rate and when are they going out of business?
Don't try to get better than 5/8 by going to SLK, Southwest, Penson, ABN Amro, or any other reputable clearing firm. They'll laugh at you unless you've got big volume.
And last but not least, don't EVER forget what a pain in the ass it is to run your own shop. Find a low-cost provider with great technology and let them pay the bills.
What are the terms of the .0035 Andover rate and when are they going out of business?
Don't try to get better than 5/8 by going to SLK, Southwest, Penson, ABN Amro, or any other reputable clearing firm. They'll laugh at you unless you've got big volume.
And last but not least, don't EVER forget what a pain in the ass it is to run your own shop. Find a low-cost provider with great technology and let them pay the bills.
GHJ
I like how you helped clear the smoke of DB. I think it's good someone tells him like it is. I wonder if he will wake up and smell the java.
Andover...yea I hear the rumors and that's why i didn't open an account and stayed put at (.0055 per share).
I like how you helped clear the smoke of DB. I think it's good someone tells him like it is. I wonder if he will wake up and smell the java.
Andover...yea I hear the rumors and that's why i didn't open an account and stayed put at (.0055 per share).
Ticker,
Perhaps I missed it, but can you list them?
Also, when I went to
http://www.tradecast.com/how.htm
this looks like software, not a broker/dealer.
What firm is this? What kind of volume do you do to get this rate?
nitro
Who do you trade with?