I feel, overall, dealer intervention as a method of restricting individual clients odds should not be permitted. Thus, it is not good to have any consensus with the SB on how to go about this issue.
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Phil Mibbutz
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We've queried this before. The answer seems to be that they just want to take a few quid back off you before you realise what's happened and close the account.
gle
Whether it should or should not be permitted is one thing. The fact is that it is happening and it does not appear to be contravening any rules or regulations. If you think it is then you should take it up with the relevant authority. So given that it is happening it is far better for the trader to know the full circumstaces under which he is trading.
Regards
bracke
Phil
Thanks for your reply.
Perhaps Capital Spreads could state why they do not inform the trader that he is being referred.
Regards
bracke
I don't agree, you have the MiFID "Best execution" directive as a guideline. I don't think you will get any lasting consensus on this matter with an individual SB.
No I don't like to know, because I will notice it immediately anyway, when I am on intervention by a dealer. I am not interested to make a deal on this issue with the SB, because it will not be long lived on their behalf.
Phil Mibbutz
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Look on the bright side - all SB providers are much, much better than they were a few years ago, when the platforms never worked properly and the spreads were massive!
Yes I agree, a lot have happened during the last few years. I do think there is some things left to do, and I am quite sure as the industry matures, they will come around improving that as well.
I notice CS now shows in the trade window "Awaiting for dealer's answer' or the like when you place a trade. Has anyone else seen this or may be they are now being honest to those who are on dealer confirm that they need to wait for dealer's answer?
Phil Mibbutz
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Long time since I tried CS, but even the autotrades used to go through a named 'dealer', which was really just the computer/robot.
Do they have a, 'Dealer Says No' window?
Long time since I tried CS, but even the autotrades used to go through a named 'dealer', which was really just the computer/robot.
Do they have a, 'Dealer Says No' window?
When you are on automatic execution you see the name of the same dealer which is in fact the computer dealer. But when you are on dealer confirm you see the names of several real dealers and their job is to trade against you, slow you down, reject trades that's going your way too fast. etc.etc..
Yes, they do have a 'Trade Rejected' message and you see plenty of these on dealer confirm.
Phil Mibbutz
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Sounds even better than before. Presumably you're now an ex-customer, too?
Too right. I took my money and left except for a small balance. They don't like winners
They always find fault with winners - wrong price, lag, scalping, news trading blah blah blah:cheesy:
can't agree more
What has happened to Simon, has he been scared off contributing to this thread or is he on a holiday again?
Most likely on holiday. Spreadbetting is a lucrative business when you sit on his side of the fence :whistling
capitalspreads
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not on holiday
new platfrom has been delayed, but not because the platform has problems but because the data transfer is proving to be difficult.
trying to be absolutely sure about every open position/cash balance/client information/new orders/stops/limits etc etc etc is just a tad difficult.
As those of you already on our new platfoms will know the speed and reliability is awesome. Unfortunately ensuring that every single bet (including some guy with a £1 bet in dollar/polish zloty) plus stops and limits and any new orders is transferred correctly to the new hosting site is very difficult It has to be tested ..re-tested...altered..re-tested..altered..re-tested ad nauseam before the final trigger is pulled.
CS looks to be sometime in september but the new front end (as an intrerim measure) is far faster (for non dealer intervention) than previous incarnations.
And, yes, i do know that those put on dealer intervention still have the same situation.
For those of you who seem to love DMA the conversation i had over lunch should be instructive. A prop dealer who i have known and respected for many years....trades in 2 to 10 contracts in the FTSE/Dax .... when he places a stop in the 'real market' in just 2 contracts he hardly ever gets his price. ... the average fill price is over 0.5 pips away (1 to 2 pips in the Dow) from his requested level. (he never holds positions over trade data releases)
He compared this with his spread betting accounts where his stops were always honored at the requested price! On the other hand he liked DMA because psycologically his losses were not atributable to his counterparty. In reality the problem dealers have with SB companies is that when they lose it is the SB company who gains. With DMA there is no obvious counterparty and (therefore) nobody to blame.
all in the mind
i am really sorry to tell you this but we really do not care about winners and losers... what we care about are traders who we identify as overtrading on latecy issues. We might be wrong and the client might be completely innocent of all suspision but there are some 15 SB companies out there and innumerable DMA platforms. So the removal of auto trader status with CS shud not be 2 much of a problem. Just move on to the next provider... hardly difficult.
As i was asked (by a trading partner) i did an analysis of Marked risk clients (that is big winning clients who we hedge) versus auto clients (those on dealer acceptance). The correlation was less than 15pc !! This showed to the partner that we were not interested in the individual trades but in the overall risk to LCG.
Simon
new platfrom has been delayed, but not because the platform has problems but because the data transfer is proving to be difficult.
trying to be absolutely sure about every open position/cash balance/client information/new orders/stops/limits etc etc etc is just a tad difficult.
As those of you already on our new platfoms will know the speed and reliability is awesome. Unfortunately ensuring that every single bet (including some guy with a £1 bet in dollar/polish zloty) plus stops and limits and any new orders is transferred correctly to the new hosting site is very difficult It has to be tested ..re-tested...altered..re-tested..altered..re-tested ad nauseam before the final trigger is pulled.
CS looks to be sometime in september but the new front end (as an intrerim measure) is far faster (for non dealer intervention) than previous incarnations.
And, yes, i do know that those put on dealer intervention still have the same situation.
For those of you who seem to love DMA the conversation i had over lunch should be instructive. A prop dealer who i have known and respected for many years....trades in 2 to 10 contracts in the FTSE/Dax .... when he places a stop in the 'real market' in just 2 contracts he hardly ever gets his price. ... the average fill price is over 0.5 pips away (1 to 2 pips in the Dow) from his requested level. (he never holds positions over trade data releases)
He compared this with his spread betting accounts where his stops were always honored at the requested price! On the other hand he liked DMA because psycologically his losses were not atributable to his counterparty. In reality the problem dealers have with SB companies is that when they lose it is the SB company who gains. With DMA there is no obvious counterparty and (therefore) nobody to blame.
all in the mind
i am really sorry to tell you this but we really do not care about winners and losers... what we care about are traders who we identify as overtrading on latecy issues. We might be wrong and the client might be completely innocent of all suspision but there are some 15 SB companies out there and innumerable DMA platforms. So the removal of auto trader status with CS shud not be 2 much of a problem. Just move on to the next provider... hardly difficult.
As i was asked (by a trading partner) i did an analysis of Marked risk clients (that is big winning clients who we hedge) versus auto clients (those on dealer acceptance). The correlation was less than 15pc !! This showed to the partner that we were not interested in the individual trades but in the overall risk to LCG.
Simon
