|
Effective January 1st, 2011, Lightspeed's standard commission rate is $.0045 per share
(45 cents per 100 shares) for all new registered accounts.
Light Speed also instituted new commission fee structures for ALL TRADERS.
They are:
- a $1.00 minimum charge per order, so any order for less than 223 shares would be
- charged $1.00 ($.0045 X 223 =$1.00).
- Lightspeed will usually waive the minimum charge for active accounts. If you are
- consistently trading over 250,000 shares per month.
In the Day Trader Josh program, what are the discounted commission rates and
incentives?
When you enter my training program (with or without the one-on-one mentorship),
I exclusively offer you the following:
- a reduced commission rate of .00395 per share.
- a 3-month grace period (waive of the $1.00 minimum charge) after you fund
- your account.
-
Most trades are initiated in 100-share blocks. How does this impact the Day
Trader Josh intra-day trading system?
No worries!
When you’re trading full-time, my system has the potential to achieve the 250,000 total
shares traded per month. That translates to an average of 12,500 shares traded per day.
Therefore, once you become a more active intra-day trader, the new minimum fee
structure won’t apply.
In the worst case scenario, you won’t achieve 250k total shares per month. In that case,
the 250% fee increase (from 40 cents to $1.00) translates to 60 cents more per trade.
That equals an additional fee of $1.20 for each 100-share round-trip-trade. So if you
are used to making an average of $20 per trade, then your average will become a not-
too-shabby $18 to $19 per trade.
Consider this too: my system allows you to average into each trade UP TO 300
SHARES. This means that when you sell your 300-share position, you satisfy
the 250-share minimum rule. In that scenario, you only pay the 40 cents per 100 share
block. Therefore, you pay only $1.20 on your 300 share block trade, not $3.00.
In addition, the rate of $1.00 per trade (100 shares) is still extremely competitive.
And my system remains profitable even with a $1.00 fee per trade.
The bottom line is:
IN ORDER TO SAVE ON COMMISSIONS, YOU DO NOT NEED TO INTRA-
DAY TRADE WITH MORE THEN 100 SHARE BLOCKS.
|
