Long Common Stock on Margin | Ally

Anyone using Ally Invest for $0 commissions + $.50 contracts?

I've been using TW for a while because Robinhood just didn't have the flexibility that I wanted. Has anyone used Ally Invest recently? I'm curious how their platform is. Also looks like they allow margin accounts, but I can't find a ton of detail on what the exact offerings are: interest rate, if naked options are allowed, limitations, etc.
submitted by lucasandrew to options [link] [comments]

Ally Invest Frustrations: Index Spreads and Margin Call Issues

I trade mostly in options in an IRA, and I've been doing it for about 10 years. I started with Tradeking, and they were bought by Ally. Lately my frustration with Ally has reached a breaking point, and I would like to get suggestions from the community for an alternative.
Years ago I used to be able to trade a spread on the SPX index. But they took away that ability, about 2 years ago I think. So I switched to SPY options. I already used SPY for more granular purchases, so I didn't think it would be a big deal.
The problem is that sometimes I get busy, or distracted, or whatever, and fail to close out a position before getting assigned. Then it causes problems that are unreasonably frustrating to get fixed.
Getting assigned means I now have a huge short position, say -3500 SPY shares, and I have a huge amount of cash, say 1.2 mil. Now, to be clear, I don't have that kind of money normally, it's just when the options get assigned. So, normally I would grumble and curse myself for not catching it in time. Then I would pay a small "stupid tax" of whatever the spread was for SPY to close the position and go about my business.
But Ally Invest won't let me do that. My account is immediately frozen for trading. So even though I have the cash right there, I can't close the position. Then I'm in trouble with the margin desk, and they take away my ability to resolve the issue. How does that make any sense? So I have to call them, and they have to place the order on the phone to close the short position. And they can't, because they need special permission for large orders. Finally, after a substantial amount of time (during which the market has moved, possibly wreaking havoc), they break the order up into smaller parts and sell it for me, and then unlock my account for trading. Then when you throw in dividends that may occur in this time period that I will have to pay, and it's just a frustrating mess.
So I am hoping I can switch to a broker that will either allow me to trade SPX index spreads, and/or not lock me out whenever options get assigned.
Does anyone have any ideas?
submitted by Baccayarro to investing [link] [comments]

Now that robinhood exists, do you think Tradeking along with other brokers will begin to lower trading costs?

submitted by Droppedyourpocket1 to wallstreetbets [link] [comments]

RobinHood on Android coming in 24 hours!!!

Just got an email informing about Robinhood on Android. It will arrive in the next 24 hours apparently. I am so pumped!!!
I've already spread my merry on robinhood
submitted by 5BrokenSlinkys to stocks [link] [comments]

Trade King?

What do y'all think of trade King? Using it now but might switch to options house. Fuck RH
submitted by gratefuldreadd to wallstreetbets [link] [comments]

Robinhood versus Other Brokers

TL;DR: Robinhood is extremely effective at just limit and market orders (market orders: because Robinhood secretly makes them limit orders anyway). Its stock statistics are (still) inaccurate, its stops (at least sometimes) don't work (as reported by multiple redditors, including me), and it provides no chart indicators at all. It is most effective when used with Yahoo! Finance, Google Finance, and/or another broker with whom you have a more sophisticated account. Do your research there, and use Robinhood only to place actual trades, ignoring the numbers it shows. Lastly, it rocks at single-share trades, which other brokers' commissions render impossible (but track your orders like a hawk!).
Other brokers include:
Aspect or Element Robinhood Other Brokers
Commission for every buy and sell order, even if you lose in the overall trade NONE! (Like Loyal3 but with traditional trading freedom) Around $3-10
Monthly market data/brokerage fees NONE! (Like OptionsHouse!) For some, a flat $3/month or a minimum volume of trades per month and/or huge account balance to waive it
Account opening minimum NONE! (I started with 1¢; you can open an account and just watch the market without trading anything) For some, $1,000
New account promotion/deal Some users report a $5 incentive to sign up (referrers are also paid $5; referral codes are sent selectively by e-mail) Some brokers give free trades to referrers or even a Nexus tablet, and some referral incentives include a little cash back or free stock transfers from a previous brokerage
Max deposit limit $50,000 per day, apparently For some, none? Swing that cash!
SEC fees per sale (minimum of 2¢, so sell at least 3-4¢ above your buy price to break even) Yes (required by federal law) Yes (required by federal law)
SEC and other fees shown per order No For many (all others?), yes
People without an SSN can trade Not currently, though there are plans for international access Some
Can trade ADRs or foreign stocks/on foreign exchanges Very limited/No Some/A few
3 settlement days before cash reuse in cash accounts (as required by federal law; you can blame Bill Clinton) Yes (3 days' strictly forced wait after every sale—even if you bought it 3 days ago! 😦 But the FAQ says faster settling is planned) Some no, some yes (but the 3 days are more flexible than Robinhood and start counting right after the buy date)
Margin accounts (which have no settlement days) Currently in a closed beta, with plans to start annually taking a rumored 7-8% of traders' margin debit (from what I'd heard) Yes
Fractional shares (buy just part of one share) No Some, like Motif Investing
Sometimes you can't sell your shares True! (as reported by at least 3 redditors, sometimes your sell button disappears temporarily. Mwahahaha! That's what you get for free, you cheapskate!) This hasn't been reported in a while so it seems scary lockups are gone False (as long as you don't buy something right after selling, then want to suddenly ditch that new purchase—settlement days, y'know)
Stock statistics are... horribly inaccurate (sometimes it will say the 52-wk. Low is higher than it actually is, or a stock doesn't pay dividends when it actually does. You get what you pay for! Or... didn't 😝 But your orders will always fill or not fill according to current real prices, not what it displays) dead-on accurate. Where do you think your commissions go to? Straight to their wallets?
Price alerts No 📉 Yes 📈
1-day chart 10-minute intervals only Multiple possibilities
Bid & Ask prices None; Last only (even though stock-trading always consists of two prices, not one; Robinhood makes no mention of this!) Yes (you buy at the Ask price and sell at the Bid; Bid is always lower by at least 1¢. This is a huge problem with Robinhood because the Bid-Ask spread on thinly traded stocks can be gigantic, sometimes almost a dime)
Level 2 tables No Some
Stock news Yes, as of v1.4.1 Yes
Technical indicators and candlestick-style chart-reading None Many (and some with alerts)
Selling Order (if you buy the same stock multiple times, then sell partially) FIFO (First In, First Out) only For some, adjustable to LIFO (Last In, First Out) and/or versus-purchase
Can pick tax lots per sale if you bought the same stock at different prices and want to sell out of order No. Hope you're a good bookkeeper. A few, such as Merrill Edge
Shorting No (not sure if this is planned) Yes 💸
Options, foreign domiciled securities, OTC equities, warrants, mutual funds, bonds/fixed-income trading No, but planned Some
Dividend-receiving Yes (appears in monthly statement) Yes (some in monthly statement, others also in transaction history)
DRIPS (automatic dividend reinvestment) No Some
Capital gains taxes Yes Yes
Tax deductions on capital losses Yes, presumably Yes
Paper trading (a practice account with fake money) No Many offer a free one
Market orders are... actually disguised limit orders at ±5% of the most recent price (and there is no way to change this, even if you agree to the risk 😟 To see the warning popup about this, try to buy beyond what you can afford) true market orders (instantly get you in/out for sure on whatever current price is available, probably a bad one)
Limit orders... might buy at $0.012 even if you put a $0.01 limit order, due to some weird Robinhood method of rounding will never flex your limit price! 💪
Stop orders / stop limit orders Yes, but they don't seem to triggedo anything, for multiple redditors and me Many
Trailing stop orders No Many
Can queue orders for the next day Only if you place the order when the market is closed The same, and some can schedule orders at any time for any day
Can edit a pending order No Yes
Can save a prepared order for quick sending later No Some
Can convert a pending order into a saved order No way Well, OptionsHouse can!
Unfilled orders expire... on your choice of one day or GTC (Good-'Til-Canceled: forever active until filled or manually canceled) for many brokers, these and even more specific, like "Activate on X date and/or expire on Y date and/or if Z stock hits V price"
Can do Order-Cancels-Order (OCO) paired orders Nope Some
Can do other fancy things like display a custom fake order size or keep orders dormant until a (different) stock hits a certain price Yeah, right Some, such as OptionsHouse 😉
Premarket/after hours trading Not yet, but planned Yes
Browser- or web-trading Smartphone apps only, though an official version is supposed to come out in 2015. Meanwhile, Chrome emulation is possible! Almost all (and some require downloading and installing their software locally onto your computer)
UI problems that other brokers don't have:
Robinhood UI awesome sauce:
Let me know if I made any mistakes or if you see something else that should be on this list!
submitted by KeronCyst to RobinhoodTrade [link] [comments]

Cheapest Online Brokers in US

I personally use Vanguard for mutual funds and ETFs but a friend recently asked me how he could buy stocks online with low commissions. I was doing some research and found this article. Does anyone have any opinions on TradeKing, Optionshouse, or interactive brokers? Thanks
submitted by A_Fisherman to investing [link] [comments]

Robinhood versus other brokers

TL;DR: Robinhood is extremely effective at *just limit and market orders* (because Robinhood secretly turns market orders into limit orders anyway). Its stock statistics are (still) inaccurate, its stops don't work (at least sometimes as reported by multiple redditors, including me), and it provides no chart indicators at all. It is most effective when used with Yahoo! Finance, Google Finance, and/or another broker with whom you have a more sophisticated account. Do your research there, and use Robinhood only to place actual trades, ignoring the sometimes-inaccurate numbers it shows. Lastly, it rocks at single-share trades, which other brokers' commissions render impossible (but track your trades in your own spreadsheet like a hawk!).
Other brokers include:
Aspect or Element Robinhood Other Brokers
Commission for every buy and sell order, even if you lose in the overall trade NONE! (Like Loyal3 but with traditional trading freedom) Around $3-10
Monthly market data/brokerage fees NONE! (Like OptionsHouse and TradeKing!) For some, a flat $3/month or a minimum volume of trades per month and/or huge account balance to waive them
Account opening minimum NONE! (I started with 1¢) For some, $1,000
Cash-fronting Instantly accessible $1,000: for every ACH deposit you make, the first up-to-$1,000 is instantly trade-able within seconds. Once the rest of the deposit goes through, each next ACH can get its first up-to-$1,000 fronted. No fronting apart from costly wire transfers
New account promotion/deal Some users report a $5 incentive to sign up (referrers are also paid $5; referral codes are sent selectively by e-mail) Some brokers give free trades to referrers or even a Nexus tablet, and some referral incentives include a little cash back or reimbursed fees on ACATS (entire portfolio transfers) from another brokerage
Max deposit limit $50,000 per day, as one redditor reported For some, none? Swing that cash!
SEC and other fees shown per order No. You're actually additionally giving up at least 2¢ for every sale. For many (all others?), yes
SEC fees per sale (minimum of 2¢, so sell at least 3-4¢ above your buy price to break even if 1 share) Yes (required by federal law) Yes (required by federal law)
People without an SSN can trade Not currently, though there are plans for international access Some
Can trade ADRs or foreign stocks/on foreign exchanges Very limited/No Some/A few
3 settlement days before cash reuse in cash accounts (as required by federal law; you can blame Bill Clinton) Yes (3 days' strictly forced wait after every sale—even if you bought it 3 days ago! 😦 But not in Robinhood Instant) Some no, some yes (but the 3 days are more flexible than Robinhood and start counting right after the buy date)
Margin accounts (which have no settlement days) Yes, in a limited way through Robinhood Instant Yes, with full margin-borrowing
Fractional shares (like, buy 1.4 shares of GOOG) No Some, like Motif Investing
Sometimes you can't sell your shares True! (as reported by at least 3 redditors, sometimes your sell button disappears temporarily. Mwahahaha! That's what you get for free, you cheapskate!) False (as long as you don't buy something right after selling, then want to suddenly ditch that new purchase—settlement days, y'know)
Stock statistics are... horribly inaccurate (sometimes it will say the 52-wk. Low is higher than it actually is, or a stock doesn't pay dividends when it actually does. You get what you pay for! Or... didn't 😝 But your orders will always fill or not fill according to current real prices, not what it displays) dead-on accurate. Where do you think your commissions go to? Straight to their wallets?
Price alerts No 📉 Yes 📈
1-day chart 10-minute intervals only Adjustable periods
Bid & Ask prices None; Last only (even though stock-trading always consists of two prices, not one; Robinhood makes no mention of this!) Yes (you buy at the Ask price and sell at the Bid; Bid is always lower by at least 1¢. This is a huge problem with Robinhood because the Bid-Ask spread on thinly traded stocks can be gigantic, sometimes almost a dime)
Level 2 order tables No Some
Stock news Yes, as of v1.4.1 Yes
Technical indicators and candlestick-style chart-reading None Many (and some with alerts)
Selling Order (if you buy the same stock multiple times, then sell partially) FIFO (First In, First Out) only For some, adjustable to LIFO (Last In, First Out) and/or versus-purchase
Can pick tax lots per sale if you bought the same stock at different prices and want to sell out of order No. Hope you're a good bookkeeper. A few, such as Merrill Edge
Shorting, options, foreign domiciled securities, OTC equities, warrants, mutual funds, bonds/fixed-income trading No, but planned Some 💸
Dividend-receiving Yes Yes
DRIPS (automatic dividend reinvestment) No Some
Taxes on capital gains Yes Yes
Tax deductions on capital losses Yes Yes
Paper trading (a practice account with fake money) No Many offer a free one
Market orders are... actually disguised limit orders at ±5% of the most recent price (and there is no way to change this, even if you agree to the risk 😟 To see the app's warning popup on this, preview trying to buy beyond what you can afford) true market orders (instantly get you in/out for sure on whatever current price is available, probably a bad one)
Limit orders... supposedly might buy at $0.012 even if you put a $0.01 limit order, due to some weird Robinhood method of rounding will never flex your limit price! 💪
Stop orders / stop limit orders Yes, but they don't seem to triggedo anything, for multiple redditors and me Many
Trailing stop orders No Many
Can queue orders for the next day Only if you place the order when the market is closed The same, and some can schedule orders at any time for any day
Can edit a pending order No Yes
Can save a prepared order for quick sending later No Some
Can convert a pending order into a saved order No way Well, OptionsHouse can!
Unfilled orders expire... on your choice of one day or GTC (Good-'Til-Canceled: forever active until filled or manually canceled) for many brokers, these and even more specific, like "Activate on X date and/or expire on Y date and/or if Z stock hits V price"
Can do Order-Cancels-Order (OCO) paired orders Nope Some
Can do other fancy things like display a custom fake order size or keep orders dormant until the stock (or even a different one) hits a certain price Yeah, right Some, such as OptionsHouse 😉
Premarket/after hours trading Not yet, but planned Yes
Browser- or web-trading Smartphone apps only, though an official version is supposed to come out in 2015. Meanwhile, Chrome emulation is possible! Almost all (and some require downloading and installing their software locally onto your computer)
UI problems that other brokers don't have:
Robinhood UI awesome sauce:
submitted by KeronCyst to RobinHood [link] [comments]

Question on Day trading rules

HI, I am thinking about opening a margin account. My account with TradeKing is currently a cash account. I still have some confusion on the laws regulating pattern day trading. I understand that day trading is buying and selling a stock in the same day, and pattern day trading is having 4 day trades in 5 rolling business days. I saw another source that said you can buy a trade on one day, and sell it the next day, an unlimited number of times in a week with a margin account;. So for example---- starting out with 0 shares. Monday: Buy and then Sell 100 Shares AAA Tuesday: Buy 100 shares of BBB Wednesday: Sell 100 Shares BBB; Buy and Sell 100 shares AAA Thursday: Buy 100 shares CCC, Buy 50 Shares CCC (2nd trade) Friday: Sell 150 shares of CCC, Buy and sell 100 shares of AAA
In this case there would be a day trade on MWF. The trades w/ BBB and CCC can still be executed, and will not make me a pattern day trader? I appreciate your help!
submitted by investwes to investing [link] [comments]

Need advice on which online broker to use. Please advise!

I want low cost trades, currently use Edward Jones and get raped. I started with EJ because I started a Roth there, and will keep it there. It just is not good for short term trading.
I want my money to be quickly accessible so I can disengage it / Reengage it to capture gains/avoid losses. I would want lowest fees. I don't mind commission per trade being around 10 bucks, so the 5-12usd range is fine. I ONLY do straight stock trades. No options/mutual funds/forex I think... as I am a newbie.... I would also need easy documentation for tax purposes. This will be my first year paying capital gains/loss on my trading activity. I want that to be as smooth as possible. I will be getting a CPA for taxes this year, previously used TurboTax and did it myself.
I will have between 2500-10000usd in the account. I do some light day trading. (1-2 trades max a day, usually 1-2 trades every 1-2 weeks, AKA not a lot but still in short term range.)
I started because of the following reasons. I have a B.S. in International Economics from Texas Tech. I invest in E&P companies. I have four years experience working completions[frac jobs] in the oil industry, primarily the Permian Basin/Midland-Odessa of Texas. I have a lot of time on my hands while at work that doesn't interfere with my work quality and I can still watch/act on the market movements.
So far I think TradeKing is my best bet but not sure. Maybe Cobra Trading
Any advice is welcome!! Please help!
Hoping this was the right subforum, also posting in Investment
e: I have robinhood but was told it took 2-3 days for funds to clear trades. This doesn't work for me as sometimes I enteexit on the same day.
e2: I am going to be calling a good friend with 4 years experienced for JP Morgan today to clear up some confusion I believe is here due to terminology. Will update thread when I can more clearly explain myself.
I looked up margin accounts, PDT, and margin trading. As far as I know, I am not a margin trader, I do not trade on margin, nor have I done so. I have the cash backing up all trades I made. All trades I made/make have the equity/cash inside my brokerage account to back them up.
e3: I have a cash account, I want to stay cash account. PDT will apply to me. I do not have the funds to enter into margin trading nor the desire.
I am probably just needing to decide between tradekings and tradestation. They all seem the same cost wise just need to look into their tools and layouts and which one I enjoy.
Thanks for the help everyone.
submitted by Snapta to stocks [link] [comments]

Broker selection for a semi-active trader?

Some background: used IB back in '12-'14 and hands down the best broker. After buying a house, recently I'm looking to get back into market with less money than what I had in IB. I'm doing mostly swing trading with holding period of 1 week - 1 month, no daytrading/penny stock, and can take all the risk - aka "play money".
Been using tradeking for last year, decent broker, but the lack of PC platform is an big issue for me, and TK Live, while a good web client, is not quite up to what I'd like.
Since I don't have 10k to open IB again(and paying ~50 per month for data/research in IB), and the wave of price cuts by the big names(TD/Fido/Schwab), say I open with $5k, which is minimum for TD with margin(I want to short stuff), which of the 3 would you use? what I'm looking for(in this order):
good PC client, possibly IB TWS-level good level2 quote good research usable mobile(as I'll mostly be checking price/emergency exit on mobile)
submitted by soloist_huaxin to personalfinance [link] [comments]

broker selection for semi-active trader?

Some background: used IB back in '12-'14 and hands down the best broker. After buying a house, recently I'm looking to get back into market with less money than what I had in IB. I'm doing mostly swing trading with holding period of 1 week - 1 month, no daytrading/penny stock, and can take all the risk - aka "play money".
Been using tradeking for last year, decent broker, but the lack of PC platform is an big issue for me, and TK Live, while a good web client, is not quite up to what I'd like.
Since I don't have 10k to open IB again(and paying ~50 per month for data/research in IB), and given the wave of price cuts by the big names(TD/Fido/Schwab), say I open with $5k, which is minimum for TD with margin(I want to short stuff), which of the 3 would you use? what I'm looking for(in this order): good PC client, possibly IB TWS-level good level2 quote good research usable mobile(as I'll mostly be checking price/emergency exit on mobile)
submitted by soloist_huaxin to stocks [link] [comments]

Suggestions for mobile brokers?

I use e trade right now but their app is way too cluttered with redundant sections. It's a nightmare to navigate their app while in a trade because you can't see real time gains or losses, their charts suck too. And then when you want to sell and you've forgotten how many shares you bought you have to go track that number down and it's shit. And it's ~$10/trade
TradeKing seems simple enough but it's been like over a week and they have yet to process my deposit. They also require a 2000 minimum to apply for a margin account to short securities.~$5/trade
What brokers/stock apps in general do you use preferably for the IOS platform? Any suggestions. I'm looking for a good level 2 montage and candle stick charts with crosshair action and lines etc.
submitted by DaBoss31 to pennystocks [link] [comments]

Need help determining margin fees.

I have a TradeKing account with over 6k. I was browsing and saw their page on margins. They charge 8%. I'm confused with the following.
Short Stock: Equities above $5.00 Initial: The greater of: $5.00 per share or 50% of the market value + sale proceeds
Maintenance: The greater of: $5.00 per share + 100% of current market value
OR
40% of the position market value (50% for concentrated accounts, when one security constitutes 50% or more of the account market value) + 100% of current market value
If someone can explain how this would affect me, should I get a margin account? What I want is to be able to trade 4 times a week without the T+3 of cash accounts. Also, would I need to use margin cash to have the 4 trades?
submitted by y2k95 to investing [link] [comments]

General Question : Typical Margin account vs limited margin by robhinhood

This may be a very basic question.
So I have > $25K in my robinhood account and I enjoy the limited margin account which allows me to do an unlimited day trade with instant cash back to my account for any other trade. I am looking to switch my brokerage since Robinhood doesnot have nominee/joint account.
So with other brokerage when I read through the fees for margin account , they have a % and a ratio built to a margin account. My question is : With a typical margin account can I still do unlimited day trades with cash coming back for instant trade, or is there any limitation how many day trades can I do (excluding penny stock/ high volatile trades) ?
I am planning to open up an account with tradeking / just2trade
Thank you for your replies
submitted by dogmashah to stocks [link] [comments]

Margin Trading  Trading Terms - YouTube Review of TradeKing Trading 101: What is a Margin Account? - YouTube WHAT IS MARGIN TRADING  how to trade in margin trade in hindi Integrated Ally Invest Self Directed Trading

Your TradeKing account is moving to Ally, and we've done the heavy lifting for you. Review the Characteristics and Risks of Standardized Options brochure before you begin trading options. Options investors may lose the entire amount of their investment in a relatively short period of time. Products that are traded on margin carry a risk TradeKing's mergers with two other discount brokers - Zecco and MB Trading - created one of the largest brokerage houses in the United States. But this did not affect the pricing - the company still offers much lower commissions than all bigger brokerage firms. Understanding TradeKing Margin Account Rates. A TradeKing margin account allows users to borrow against the value of their funds. This is subject to a $2,000 minimum equity requirement. As the margin balance increases, the rate falls. These rates are calculated daily and debited monthly. Trading on margin is a common strategy employed in the financial world; however, it is a risky one. Margin is the money borrowed from a broker to buy or short an asset and allows the trader to pay Margin borrowing: $2,000 – In order to carry a margin debit balance or sell a security short, you must have at least $2,000 of margin equity in the account. Day trading: $25,000 – If you’re classified as a day trader, your account must maintain $25,000 in account equity to continue day trading in the account. To remove the day-trader

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Margin Trading Trading Terms - YouTube

Today we will cover the basics of margin for active traders. Using margin can be an amazing advantage but you should be aware of how it actually works to avo... Trading 101: What is a Margin Account? Come join me for a live session where I talk more about trading, the markets and all the money that can be made. Claim... One trading jargon that you’ll hear very often is margin. It’s usually in terms like margin account, margin trading and even margin call. It seems a bit comp... What is margin trading, what is leverage trading, what is limit trading all are described. What much margin brokers are providing in different different segments. TradeKing Trading Platform Review, Tutorial, and Tour (Part 2) - Duration: 21:33. Sasha Evdakov: Tradersfly 41,755 views. 21:33. How to Trade Options: A Beginners Introduction to Trading Stock ...

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