Recent bankruptcies and failures of PFG and MFG have made execution and rates just a part of the search for a commodity brokerage. Now it is vital to know the features of the firms themselves. For years, brokers have relied on the CME's Safeguards in the CME brochure that described the step-by-step process for the financial failure of a commodity firm. The trading world was not prepared for default based on theft and manipulation by a trusted figure in the trading world. Trust is what the exchanges thrived on for years, along with the intensive background checks of the floor brokers and the financial requirements to weed out only the elite candidates for membership to the exchange. Falsifying bank records, which actually affected the holding accounts of the firm, was a shock to the trading world. Continue reading "Firms That Fail: What to Look For in an FCM"→
You decided to become a trader. Put some money in an account, got a few indicators, read a couple of old wive's tales on a forum that sounded pretty solid, you're good to go right?
Well... let me ask, "How's that working for you?"
You don't need to answer, it was rhetorical. Besides, I know the answer.
I interviewed Max Lucado back in the early days of CFRN. He had just published his umpteenth book -
Let me tell you, I was as excited as any cub reporter has ever been. This guy was my hero. I read his books as fast as he could write them and to actually meet him after all this time...... you would have thought he was Jesus.
Silly excited. Jimmy Olson-itis is what I had.
Turns out, guy couldn't even fly. Couldn't fly? He didn't even have a cape.
Shucks, this guy was offering the Cure For The Common Life and it was starting to sound like his life was more common than most.