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Discount versus Full Service Brokerage Firms

There is a conflict of interest that exists between high commission paid full service brokers and you. The bottom line is that they make money when you trade. The brokerage industry is heavily regulated largely because of the problems associated with full service brokers 'churning' accounts to make commissions. Be careful not to let it happen to you. If you suspect a broker has been churning your account (Making recommendations for the sole purpose of collecting commissions), you may want to report him or her to the NFA and file a formal complaint. The NFA settles these disputes and often settles them in favor of the trader, especially if their investigation shows unethical behavior by the broker, or brokerage firm.

The permanent solution to this problem is to not deal with the full-service brokers at all. The truth is if the full service brokers were really good at trading and timing the markets like many of them claim to be, they would be trading for themselves and their families instead of trading for you. Think about it. If you really want to become a professional and make money in this business, you are going to need to do some work on your own. That is what we can assist you with.

Discount brokers make money on an hourly basis, or sometimes based on the number of calls they answer and the number of orders they place. They are prohibited from giving advice or recommending trades. The fee for their service is between $10 and $25 round turn. As a professional trader, you want to keep your transaction costs low, especially in the beginning when you are just learning. You also want to make your own trading decisions based on a system, set of rules, or a method. This is critical. One of the important keys to success is consistency. In order to be consistent in your trading approach, you must have a plan of attack, a system, and methods for dealing with losing and winning trades as well as determining risks. Again, this is where we can assist you.

The technology available today also allows traders to place orders on-line using their computer. This removes the broker out of the equation almost entirely. The on-line fees are often even less than the discount broker! This is certainly the way to go as far as execution goes.

The difference in cost between high paid brokers and discount brokers
Number of contracts traded over a one month period. Using a Full-Service brokerage with a commission of ( $80 / r.t.) Using a discount service with a commission of( $25 / r.t.) Here is the Savings you get by using my service to learn how to trade for yourself while using a discount broker!
10 contracts/month $800 $250 $550
20 contracts/month $1600 $500 $1100
30 contracts/month $2400 $750 $1650
Trading results - If you use a full service broker to make trades for you, the probabilities of making a profit after commissions are very slim. Your profits get sucked away by the commissions. Losses are even worse because again, you pay commissions on the losses as well. Using a discount service, you increase your probability to profit, by simply reducing your costs. Add our monthly fee for access to our system and your costs are still far less than with the high paid broker, but more importantly, you remove the conflict of interest. This savings alone can increase your bottom line!

Rather than depending upon a full service broker to make your decisions, using an outside source like Floyd Upperman & Associates to teach you how to follow the markets on your own, you eliminate the very real conflict of interest which exists between a commission paid full-service broker and yourself. Think about it. Your objective should be to learn what makes the markets tick and to learn how to become independent in your own analysis, decision making process and placing orders. Full service brokers don't want to teach you this out of fear they will be out of a job!

If you are serious about trading and really want to know what it takes to be successful, then we challenge you to read through our web site and learn what we have to offer.


No guarantees can be made for success. Past performance is not a guarantee of future profits. Futures trading is NOT our only means of income. We also invest in stocks, real estate as well as generate income from other businesses. We have both winning trades and losing trades. We trade professionally, but not daily. We wait for what we believe to be ideal trading opportunities.

Try it for free!  

  "I can't imagine trading commodities without this data! This is the missing link"
J.T., private trader

"I don't know how you can make it (IMPA system) any better... This is the BEST system I have ever seen. "
R.K. Part-time futures trader

"Dear Floyd, Well I have read the manual and studied lots & lots of charts... all I can say is wow - I finally found it - !!! THE SYSTEM (the only system) ... Finally FA & TA in one package! Thanks, Subscribing for life now please...from way down under"


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