Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Microcap & Penny Stocks : Perceptronics (PCTR) -- Ignore unavailable to you. Want to Upgrade?

To: WallStBum who wrote (442)	1/16/1999 11:55:00 PM
From: Eric Fader	Read Replies (3) \| Respond to of 575

Dax - I have an account with a broker who is willing to register as a MM for a stock if I tell him I intend to buy or trade enough of it to make it worth his effort to sign up. Actually, the process is simple and can be virtually instantaneous, but most brokers (and especially those who work for the large houses) aren't interested in doing it. My guy doesn't always get the phone call -- many times, one of the larger MMs will match his bid or offer so as not to turn away a trade -- but I can often buy at the bid and sell at the ask. It's not a deep-discount commission, but I'm happy to pay $80 or $100 for a trade when I can save 5 or 10 cents or more on the price of thousands of shares of some little BB stock. Also, if you allow enough room for the MM you or your broker deals with to still make a decent spread on the trade, you will probably find that he'll raise his bid to try to get stock to sell to you at a price below the prevailing offer. For example, if PCTR were 11/16 bid, 7/8 ask as it was the other day, I'm sure that some MMs would have been glad to bid 23/32 to try to attract shares to sell to someone who had put an order in to buy 5,000 shares at 27/32. That MM would've picked up an easy $625 for his work on the trade. My broker/MM is pretty successful cajoling other MMs to do him favors for as little as $100 a trade. -Eric