My experience with the Candlestick Trading Company

[compaq]

I wanted to make traders aware of my experiences with Candlestick Trading Company (CTC). Hopefully my experience can be of benefit to others.

I recently left Candlestick as I was offered a much more competitive deal at another arcade. I had signed an agreement with Candlestick and one of the clauses of the agreement mentions that it could be cancelled by either party at any time by giving 30 days notice. With this in mind, I handed in my written notice on February 28th 2005. Another clause stated that any monies in my trading account had to be made available to me within 5 days of my asking for them. With this in mind, I requested, at the end of my legally required time at CTC (end of March 2005), that the monies in my trading account be released.

To this day the company still refuses to release my funds and I have been forced to take legal action. As we all know, legal advice is far from free. It is extremely lucky that I am on such a good deal at the new company, or else I would not be able to even afford legal advice (seeing as CTC are withholding my funds) and I genuinely fear that CTC might never release my money.

The company also refused to release my trading mnemonic. Had it not been for other circumstances, this could have prevented me from conducting my business and earning an income.

 

[A Dashing Blade]

. . . To this day the company still refuses to release my funds . . .

For what reason (suspects you've posted only one side of the story)?

 

[compaq]

I am simply explaining my experiences, Dashing.

I suspect that CTC will look at the agreements that their traders sign and remove the 30 day termination clause that is included.

If there is another side to the story I too would like to hear it.

 

[jimmy1]

did you put up funds at ctc or join as a grad and take a slice of the p&l?
i went for an interview there about 3 years aggo they wanted me to put in 20k, i decided against it.......
what did they teach you just euribor spreads? for half a tick

 

[compaq]

I was originally self-financed and spread trading the Euribor. When I started trading Short-Sterling however, I did so on a semi-financed basis, as I was not permitted by the administration at CTC to be self-financed.

 

[Directional]

what legal action are you taking? presumably they dont have a leg to stand on if they are in breach of their own agreement?

which firm did you move to?

 

[scrum]

The company also refused to release my trading mnemonic. Had it not been for other circumstances, this could have prevented me from conducting my business and earning an income.

Can you elaborate on these 'other circumstances' compaq?

 

[jimmy1]

at ctc is it mainly trading the bid offer spread, on spreads or do you do outrights and go in for more than half a tick?

 

[compaq]

Arb, I am letting my solicitor take care of the legal proceedings. It might not be best for me to mention the options he has presented on a public forum at this present point in time. However, when the matter is resolved I will be more than glad to share them with you.

Jimmy, I have traded both Euribor and Short-Sterling spreads. The Euribor is half a tick wide and the Sterling is a fat tick. You can trade outrights by themselves if you wish, or you can use them to leg into a spread. We were encouraged to trade spreads though. Pesronally, I mainly use the spread matrix to get into positions, although in Sterling it has become very locked up lately with too many participants. Dare i say it, but it might be time to move back to Euribor (maybe even over to Eurodollars).

Scrum, I have the feeling that we might have met before. How about I elaborate about these other circumstances with you in person? We'll arrange for somehwere thats convenient with you, say.... the Docklands?

 

[scrum]

Scrum, I have the feeling that we might have met before. How about I elaborate about these other circumstances with you in person? We'll arrange for somehwere thats convenient with you, say.... the Docklands?

I'm guessing by your last comment that you are implying I am connected with Candlestick? I'm not, but I can understand your caution since it has got this far. I have been offered a place by Candlestick, but am concerned that they are wanting to tie new traders, who are not self-funded, into a 2/4 year contract, and was wondering what steps you had taken that allowed you to continue trading elsewhere?

 

[compaq]

That is correct scrum, Candlestick did/do have a 2 and 4 year 'agreement' (it is not actually titled as a contract).

According to the clauses of the current agreement (unless they have changed them already) either party can terminate the agreement by giving 30 days notice. Therefore, as a trader you are never legally tied in, as you were concerned about, if you have performed your duties in relation to the agreement (ie. given the appropriate 30 days notice). Legally, this means that traders are free to leave (and go to other arcades if they wish) during the 2 or 4 year period.

 

[compaq]

Candlestick have delivered me a cheque for my trading funds today. The matter now appears to have been concluded.

 

[Wisey]

Candlestick have delivered me a cheque for my trading funds today. The matter now appears to have been concluded.

Is it common for arcades to tie you into long term contracts whereby you cannot move to another arcade. Or is this something that should not even be considered??