Futures For You by Carley Garner
SO MANY CHOICES (PART 1)
Shopping for a commodity brokerage is overwhelming; what should I be looking for?
Traders tend to spend endless hours researching the markets, but they fail to allocate the proper effort to choosing the right brokerage firm. In my opinion, it is this single decision that might be the most critical determinant of success or failure.
Each trader has a unique set of needs relative to his or her trading style, experience level, account size, and other factors. Thus, there isnít a blanket answer to this question; nor is the subject black & white.
First, letís discuss the primary types of brokerage firms, some of the organizational characteristics to be aware of as a consumer, and the pros and cons of each. Next month, weíll discuss appropriate service levels and trading costs for various types of traders.