[SideshowBob]

I tried to open an IB account, but like many discount brokers they want to do everything electronically. Unfortunately I work for a bank, which has a brokerage arm. It doesn't matter that I'm a programmer and I have no way to even get inside information, I'm still subject to the same stupid insider trading rules (funny how the board of directors can sell whenever they want though, and always right before the stock plunges, but it's all in the name of diversification).

Funny how when I want to "diversify" my 401k matches (in company stock) into something that isn't plummetting, I'm not allowed.

Back to my main diatribe. Our compliance department (made up of people too stupid to even appear on crapvision) is unable to set up an email account to receive electronic statements, so they prevented me from opening an IB account. I guess freetrade is out too.

All it would require is one of the idiots in compliance giving their email address, if they're too lazy to fill out a form and have the network group create an account for them.

End of rant.

SB

[GregFokker]

Why not just set up a hotmail account and do it that way?

[DrStool]

or you could be sideshowbob@capitalstool.com

[GregFokker]

I'd be proud to show my colors as gregfokker@capitalstool.com.

[SideshowBob]

The problem is they require a statement from the broker directly, and they are not set up to receive email statements. I offered to print out statements and give copies to them, I'd even be willing to give them my id and password so they could print it themselves, but they can't be bothered, and they say it can't come through me (I suppose I could change my trades to make it look like I didn't do insider trading). I have zero contact with clients, I write C++, VB and HTML code all day -- where am I going to get this inside information?

Personally I don't know if it's just the secretaries I'm dealing with or the actual lawyers in the department, I think personally it's the secretaries and I'm considering trying to meet with the head of the compliance dept to try and explain how easy it would be for them to set up an email address to receive statements, and how it would even save them money since they wouldn't need to open them, sort them, etc. But I'm also afraid it could backfire and get me in trouble at work.

The best part is that I only trade ETFs anyway, since there are so many rules about individual stocks (client stocks must be held for 60 days and can't be shorted, but you can never get a straight answer about who is a client, so it's safer not to touch them). ETFs are considered mutual funds and are exempt, because you can't get inside information on QQQ (at least according to the law you can't )

SB

[speculator]

SideshowBob, on Feb 22 2003, 11:36 AM, said:

The problem is they require a statement from the broker directly, and they are not set up to receive email statements.  I offered to print out statements and give copies to them, I'd even be willing to give them my id and password so they could print it themselves, but they can't be bothered, and they say it can't come through me (I suppose I could change my trades to make it look like I didn't do insider trading).  I have zero contact with clients, I write C++, VB and HTML code all day -- where am I going to get this inside information?

Personally I don't know if it's just the secretaries I'm dealing with or the actual lawyers in the department, I think personally it's the secretaries and I'm considering trying to meet with the head of the compliance dept to try and explain how easy it would be for them to set up an email address to receive statements, and how it would even save them money since they wouldn't need to open them, sort them, etc.  But I'm also afraid it could backfire and get me in trouble at work.  

The best part is that I only trade ETFs anyway, since there are so many rules about individual stocks (client stocks must be held for 60 days and can't be shorted, but you can never get a straight answer about who is a client, so it's safer not to touch them).  ETFs are considered mutual funds and are exempt, because you can't get inside information on QQQ (at least according to the law you can't   )

SB

That is complete BS. Why do you even tell them you are opening an IB account? Its none of their business.

Forget about their so-called compliance department. Just follow the rules so you dont break the law.

DISCALIMER - I AM NOT QUALIFIED TO GIVE LEGAL ADVICE

[DrStool]

Bontchev-

Yeah, I was joking, but I could do it actually. Although I don't know the mechanics. Need software for an smtp mail setup right?

Is it a good idea? Stoolmail?

[speculator]

DrStool, on Feb 22 2003, 12:35 PM, said:

Bontchev-

Yeah, I was joking, but I could do it actually. Although I don't know the mechanics. Need software for an smtp mail setup right?

Is it a good idea? Stoolmail?

Doc if your using Linux you already have the smtp server software. Its a real pain to manage though and will consume your time.

[DrStool]

It's Unix Free BSD, and if I have to spend 1 second managing it, no way!

But if it's something I can get self managing software for, I'd do it. The PR value alone would be worth it.

[Pigeon Drop]

It is called compliance for a reason, it is compliance with SEC rules. They have legal obligations to watch all their employees. If you try to go around them and they find out, you will be fired. It doesn't matter that you claim you have no access to info, and you only trade ETFs. You work on the computers, you could tap into their client databases, you could tap into confidential email. You are a risk. If you push this, you are making yourself a pain in the butt, it will go to HR and your boss, and you will suffer the consequences.

Now you certainly could do your trading at their own brokerage, where they can watch your activity. But the commissions would be prohibitive. Also, if you are very active, they start looking at whether you are working in your job, or spending all your time gambling on company time.

What is more important, your job or your speculations? I hope you think your job.

[SideshowBob]

Pigeon Drop,

I understand they can fire me, I wasn't the one who suggested going around them.

I actually am not that active a trader, for the simple reason I do work and can't watch the market all the time. I trade only mutual funds in my IRAs, but I wanted IB for my main taxable account.

It was more of a rant than anything else, there isn't much I can do. The most I would consider doing is offering to help them set up email statements, since I doubt they have the knowledge to do it (or would even know who to ask). Then again, they have a trade pre-clearance web site (before I make any trade in an individual stock I have to get clearance to make the trade) and you can print compliance letters (407 letters -- required by a brokerage before I can open an account -- they give my company's address to send duplicate statements to). So why can't they set up a simple mailbox?

The end result is about $14 extra a trade for me, although I make only a couple trades per month anyway. It just irks me that I can't open an account because of some idiot's unwillingness to be a little flexible.