why do you think that is…

Ya well Jones has LP and Bonuses so none of that matters.

exEJIR, maybe a more important question, WHY DO YOU CARE?

hello, the logic would obviously be that if you are discounting a service, EJ ain't discounting their share, so the discount has to come out of your pocket.  So my philosophy would be "this is what I cost, if that doesn't work for you, trade online," not "hey buddy, let me cut you a break and, yeah, I'll take it in the shorts, but I'm too nice for you to pay full price."

Ace

[quote=Guest1]exEJIR, maybe a more important question, WHY DO YOU CARE?[/quote]

Really exJIR , why do you care?

[quote=exEJIR]

Don't mean to "beat a dead horse", but can someone explain to me the logic behind EDJs haircut to brokers?

For those who aren't fimiliar with it:  If a broker discounts a stock trade, the discount comes from the brokers side.

Example:  $500 comm - 20% ($100) = $325 to EDJ, $75 to broker                   at 35% payout

EDJ always gets their full cut.

[/quote]

Just because YOU don't think you're worth paying full boat, doesn't mean that EDJ thinks that bad about themselves.

You could play the "discount" angle this way:

1st client trade: Discount for buying stock. If it works out, full commission for selling the stock.

2nd client trade: Full commission for buying stock. If it doesn't work out, discount on the sell side.

Etc.

Initially, you should give the client some general parameters as to when you will sell the stock. For example: sell when up 15% or down 10% for 3 months.

However, when you start making some serious money for the client, drop the discounting altogether or drop the client.

I get 85% payout on all stock trades whether I decide to discount or not.....

That was always such bul lsh it at Jones.  You try and do the client a favor if they are reinvesting the sale proceeds with you--and you end up screwing yourself.  One of many delinquencies at Jones I'm afraid.

[quote=remotecontrol][quote=exEJIR]

Don't mean to "beat a dead horse", but can someone explain to me the logic behind EDJs haircut to brokers?

For those who aren't fimiliar with it:  If a broker discounts a stock trade, the discount comes from the brokers side.

Example:  $500 comm - 20% ($100) = $325 to EDJ, $75 to broker                   at 35% payout

EDJ always gets their full cut.

[/quote]

Just because YOU don't think you're worth paying full boat, doesn't mean that EDJ thinks that bad about themselves.

[/quote]

First off, knucklehead, I didn't discount stock trades.  Because my experience is worth the commission I charged.

I asked the question because I never heard a good answer from EDJ, and thought maybe someone on here may have gotten a "good" answer from EDJs home office. (i.e. Zacko, Babbling Looney, etc.)

I discount stock trades ONLY IF we are going to reinvest into a product that has a more substantial commission  (mutual fund, annuity). I don't discount if it is a one time trade, if it is a stock to stock trade or the client is taking cash proceeds of the sale out of the account. 

My clients are aware of how much a trade is going to cost and are comfortable with this rationale.  They understand that, after all, I am in business to make a living but also appreciate that I don't intende to make my entire living off of their trade alone.  They also understand that if they want to have discounted trades on a regular basis, they will have to go someplace else.  Someplace where they won't have the information and support that I offer and where they will be comfortable making stock picks on their own.  Most clients decline this offer  except for those clients who have a small amount (less than 20K) of "play money" and want to pretend that they are day traders.  I keep the rest of their "serious" money.

I never got a good answer from EDJ on that issue, but I suppose that it is because they don't want to lose a dime.  If we want to take a cut in commission then it is on us.  One person at the home office said that it costs them just as much to process a full commission trade as a discounted trade and if we discount too much the profit margin would shrink.   That's how I look at it in my practice.

[quote=exEJIR][quote=remotecontrol][quote=exEJIR]

Don't mean to "beat a dead horse", but can someone explain to me the logic behind EDJs haircut to brokers?

For those who aren't fimiliar with it:  If a broker discounts a stock trade, the discount comes from the brokers side.

Example:  $500 comm - 20% ($100) = $325 to EDJ, $75 to broker                   at 35% payout

EDJ always gets their full cut.

[/quote]

Just because YOU don't think you're worth paying full boat, doesn't mean that EDJ thinks that bad about themselves.

[/quote]

First off, knucklehead, I didn't discount stock trades.  Because my experience is worth the commission I charged.

I asked the question because I never heard a good answer from EDJ, and thought maybe someone on here may have gotten a "good" answer from EDJs home office. (i.e. Zacko, Babbling Looney, etc.)

[/quote]

YOU work for Jones and I'M the knucklehead? You're a funny girl.

The G.P.'s have a “good answer”.  Good for them, that isS!

[quote=remotecontrol][

YOU work for Jones and I'M the knucklehead? You're a funny girl.

[/quote]

Yes, you are a knucklehead.  Read the log-in...  exEJIR.  And, BTW, male not female.

ExJir- You will never get a good answer from Jones, because it will never contain any amount of truth. Move on your better off where you are.