http://www.shorttermtrading.org/short-term-trading/can-anyone-advice-me-on-the-best-online-broker-to-choose-i-have-a-short-term-trading-strategy-2 Learn Short Term Trading Like the Pros Wed, 05 May 2010 02:49:31 +0000 http://wordpress.org/?v=2.9.1 hourly 1 http://www.shorttermtrading.org/short-term-trading/can-anyone-advice-me-on-the-best-online-broker-to-choose-i-have-a-short-term-trading-strategy-2/comment-page-1#comment-1340 SmittyJ Sat, 01 May 2010 01:05:56 +0000 http://www.shorttermtrading.org/short-term-trading/can-anyone-advice-me-on-the-best-online-broker-to-choose-i-have-a-short-term-trading-strategy-2#comment-1340 Whatever disocunt brokerage firm you go with absolutely make sure to demand a money market fund for your cash account. ETrade and TD Ameritrade recently changed their policy and now pay less than 1% on cash...the income they earn by paying their customers less than 1% on cash and simply turning around and depositing "your" money into a money market account earns them huge profits (for ETrade it accounted for nearly 1/2 of their net income for the recent quarter)..Great way to treat their customers don't you think....I can't believe so many investors let them get away with this practice...I can't stress enough that all discount brokerage customers need to look into what their firm is paying on cash and either demand a money market fund return (4.5-5%) or take your business to a place like Wells Fargo Investments that offers money market funds for idle cash and up to 100 free trades per account/year if you have over $25k between deposit, loans, and brokerage (including IRAs). Whatever disocunt brokerage firm you go with absolutely make sure to demand a money market fund for your cash account. ETrade and TD Ameritrade recently changed their policy and now pay less than 1% on cash…the income they earn by paying their customers less than 1% on cash and simply turning around and depositing "your" money into a money market account earns them huge profits (for ETrade it accounted for nearly 1/2 of their net income for the recent quarter)..Great way to treat their customers don’t you think….I can’t believe so many investors let them get away with this practice…I can’t stress enough that all discount brokerage customers need to look into what their firm is paying on cash and either demand a money market fund return (4.5-5%) or take your business to a place like Wells Fargo Investments that offers money market funds for idle cash and up to 100 free trades per account/year if you have over $25k between deposit, loans, and brokerage (including IRAs).

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