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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Spekulatius who wrote (62666)	10/10/2019 7:47:59 AM
From: Wallace Rivers	Read Replies (1) \| Respond to of 78476

I am surprised about no action by Fido, as of yet. I am a customer, at present I'd prefer to stay put, it's a hassle to move assets. If Fido gets enough push back, however, I think they will be forced to go to zero.

To: Spekulatius who wrote (62666)	10/10/2019 8:52:58 AM
From: OldAIMGuy	Read Replies (2) \| Respond to of 78476

Hi S, Re: Retail Brokerage Income....................... I agree, they pay very little in the way of interest on cash deposits. Further, with just a small bump in what they charge for margin borrowing would put them even with what they made at the previous commission levels. So, Cash Deposits pay little while the House can do better with the same cash and lending Money at slightly higher Margin rates most likely will compensate for lack of commission income. Without the "trade wars" we might not have seen the FED lowering interest rates. So, even though it's been a very long time since money market funds have paid anything significant on deposits we might yet see a "reversion to the Mean" in interest rates (pre-New Millennium) sometime in the future. Rates have been held artificially low for nearly two decades. Also, the 13 Week Treasury Coupon rate is again below the CPI all urban inflation rate. Again, this is abnormal - even if it's been the case for most of the latest two decades. Best regards, Tom