Thursday, February 4, 2010

[TheOptionClub.com] Re: Has anyone tried this for TOS Commissions?

 

Thanks everyone for your input and I'll definitely let you all know what happens after I email Scott Sheridan. To answer your question Chris about the minimum charge. It's actually $7.50 per leg so it would cost $30 each trade or $60 round trip to get in and out. They claim there are higher regulatory fees in Canada but I actually think its do to low competition. The only broker that comes close to TOS in Canada is IB which I am trying out now but still prefer TOS.

Thanks again.

--- In OptionClub@yahoogroups.com, "TheOptionClub" <chris@...> wrote:
>
> Yes. I should have said that. Contact Scott Sheridan and see what he
> is able to tell you or do for you. Let us know what happens!
>
> Christopher Smith
> TheOptionClub.com
> --- In OptionClub@yahoogroups.com, Nick Horowitz <nhorowitz@> wrote:
> >
> > Hi Scott.
> >
> > Send an email to Scott Sheridan [scott@] and ask him to add the
> OptionClub $1.50/contract commission price to your account. Scott is
> one of the 2 founders of TOS and handles the commission match inquiries.
> Make sure to mention you are in the Canada subsidiary and I'm sure he'll
> either do it for you or point you to the right person. Good luck. Let
> the group know the outcome so that we have a TOS price match procedure
> for the other Canadian members.
> >
> > ________________________________
> > From: OptionClub@yahoogroups.com [mailto:OptionClub@yahoogroups.com]
> On Behalf Of Scott K Newman
> > Sent: Wednesday, February 03, 2010 10:33 AM
> > To: OptionClub@yahoogroups.com
> > Subject: [TheOptionClub.com] Re: Has anyone tried this for TOS
> Commissions?
> >
> >
> >
> >
> > Hey Guys,
> >
> > I live in Canada and TOS is owned by TD Waterhouse here which is a
> separate division of TD Ameritrade from the USA. I asked if they will
> wave the the $7.50 minimum charge per leg. Since I am still learning the
> ropes I only trade 1 contract per leg and I primarily do Iron condors. I
> am ok with the $1.50 per contract charge but they refused to wave the
> $7.50 minniumum. The best they offered was $5 minimum per leg which
> still adds up to a lot of money when you trade only 1 contract per leg
> on an iron condor.
> >
> > Is anyone here from Canada that has had better success then I did with
> TOS? Also, do any of you guys have pull with the heads up at TOS where
> we might be able to get them to bend the min. charge rules for their
> Canadian subsidiary?
> >
> > Any help would be greatly appreciated. Thanks.
> >
> > --- In
> OptionClub@yahoogroups.com<mailto:OptionClub%40yahoogroups.com>,
> "TheOptionClub" chris@ wrote:
> > >
> > > Mike,
> > >
> > > Basically what happens when you're assigned on a cash index option
> is
> > > that for every point it is in-the-money $100 is deducted from your
> > > account. So, if you have a 10 point spread the worse case scenario
> is a
> > > $1,000 deduction per spread sold. It's really not that big of a deal
> so
> > > long as you are managing your risk and not trading to much size. The
> > > cash deduction is no different that the account debit you experience
> > > when closing the position.
> > >
> > > Most of the cash index options are European style, meaning that they
> > > cannot be exercised early but there are some that are American style
> and
> > > that offer early exercise potential. For details on the specific
> > > options you're trading head on over the the CBOE website.
> > >
> > > Christopher Smith
> > > TheOptionClub.com
> > >
> > > --- In
> OptionClub@yahoogroups.com<mailto:OptionClub%40yahoogroups.com>, Mike
> Cleveland <mikeandjody1996@>
> > > wrote:
> > > >
> > > > Thanks Chris,
> > > >
> > > > These are index options. I learn by doing, so I trade live, just
> very
> > > tiny position sizes, so that I can understand what is happening in
> the
> > > live market. I had no plan for getting assigned on the short
> options, I
> > > only had plan to manage the portfolio by keeping delta neutral,
> which
> > > has indeed happened so far.
> > > >
> > > > Mike
> > > > P.S. I just trade with TOS regular commission schedule, for the
> reason
> > > mentioned below.
> > > >
> > > >
> > >
> >
>

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