what should i be paying?

[zmiws]

i've been with the same firm for several years and as my volume has gone way up, my commissions have not gone down. i feel as though my current deal is not what i could get it if i left the firm. what kind of commissions can i expect to pay if i trade 3-5 million shares a month? i'm looking for 100% payout, willing to put up 50k. thanks.

 

[mnx]

Quote from zmiws:

i've been with the same firm for several years and as my volume has gone way up, my commissions have not gone down. i feel as though my current deal is not what i could get it if i left the firm. what kind of commissions can i expect to pay if i trade 3-5 million shares a month? i'm looking for 100% payout, willing to put up 50k. thanks.

You could go just about anywhere and get .003 or less.

- mnx

 

[TM_Direct]

Quote from mnx:

You could go just about anywhere and get .003 or less.

- mnx

With a 100% payout??????

no wonder theses firms all go out of business...a guy trades 5 milllion shares and his firm only makes a flat 15k??? that won't cover DTC/NSCC and Clearing fees...sheesh

 

[ManhattanTrader]

nowadays prop firms' profit margins have shrinked and shrinked. I would not be surprised if they made less than 1 penny of profit out of those 3

 

[TM_Direct]

Quote from ManhattanTrader:

nowadays prop firms' profit margins have shrinked and shrinked. I would not be surprised if they made less than 1 penny of profit out of those 3

uhmmm..at .003 they are already less then a penny..thats my point...i don't get how they can survive a 3/1oths of a penny

 

[mnx]

Quote from TM_Direct:

With a 100% payout??????

no wonder theses firms all go out of business...a guy trades 5 milllion shares and his firm only makes a flat 15k??? that won't cover DTC/NSCC and Clearing fees...sheesh

Only 15g's a month man how do they pay the bills? LOL I'd hate to run a firm where I'm pulling in 15's per trader, I don't know what I'd do with all that cash. I'm willing to bet at least 1/3 of that is pure profit.

- mnx

 

[TM_Direct]

Quote from mnx:

Only 15g's a month man how do they pay the bills? LOL I'd hate to run a firm where I'm pulling in 15's per trader, I don't know what I'd do with all that cash. I'm willing to bet at least 1/3 of that is pure profit.

- mnx

you don't understand...they are NOT making 15k pure profit...on 5 million shares they are GROSSING 15k....now you have to take out:
1) Clearing fees
2)dtc/nscc flipping fees
3) act fees, sec fees
4) connectivity fees
5) software fees

 

[mnx]

Quote from TM_Direct:

you don't understand...they are NOT making 15k pure profit...on 5 million shares they are GROSSING 15k....now you have to take out:
1) Clearing fees
2)dtc/nscc flipping fees
3) act fees, sec fees
4) connectivity fees
5) software fees

I said 5k (not 15k) in pure profit.

Nobody quotes commission rates to include SEC fees do they??? Most firms I've talked to also charge act and nscc on top of their rate as well, along with software fees. (not that a couple hundred a month for software is that big a deal anyways...)

- mnx

 

[TM_Direct]

Quote from mnx:

I said 5k (not 15k) in pure profit.

Nobody quotes commission rates to include SEC fees do they??? Most firms I've talked to also charge act and nscc on top of their rate as well, along with software fees. (not that a couple hundred a month for software is that big a deal anyways...)

- mnx

why do i bother? clearly you know nothng about expenses and profits....to gross 15k on 5 million shares traded is a waste of time and money...they are not making much if any profit

 

[Szeven]

WTF... lol

.003 or less covers clearing fees only.

Software fees always come out of profits.
Passthroughs always come out of profits.
SEC fees always come out of profits.

Do you even trade?

IB charges .005 ALL IN. So if you take out the SEC, passthroughs, and software fees, OF COURSE he should be paying less than .003.

geez....