SureTrader Broker Review
- Customer Service
- Commission Fees
- Trading Platforms
- Research Tools
If you are a U.S. resident and you are looking for a way to bypass the SEC’s PDT rule, then SureTrader might be the right choice for you. But, there are a few factors you should consider. In this review, we’re going to tell you everything you need to know about this brokerage so that you can decide if their services are worthy of your time.
What is SureTrader?
This broker is based in The Bahamas, and its primary goal is to offer U.S. residents an opportunity to bypass the PDT rule. Their services are mostly used by day traders who have issues with the regulations in the U.S.A.
The CEO of SureTrader is Guy Gentile, and the brokerage is a part of Swiss Americas Securities, Ltd. Gentile is known for his alleged involvement with penny stock manipulation schemes, even though the charges were dismissed. He is also the founder of Speedtrader brokerage.
SureTrader began offering its services in 2011, and the company quickly became popular.
What does this brokerage do?
Even though the company offers direct market access, most day traders turn to SureTrader when they want to evade the PDT rule. Another similar brokerage is TradeZero, which is also based in The Bahamas.
If you want to open an account with them, you need to pay a $500 deposit. As soon as the company receives evidence about the transaction, you can start day trading.
Fees & Prices
SureTrader charges its investors per trade, and the company follows a progressive rate. Therefore, the more you trade, the less you will spend on commissions.
In the beginning, you can trade up to 250,000 shares per month. SureTrader will charge you $0.01 for each share, and the ticket price cannot be lower than $4.95 or higher than $50.
Trading options will cost you a bit more. If you are staying below the 100 options limit, you will have to pay $4.95 and $0.50 for every contract. However, if your trading volume is higher than usual, then you will have a discount and pay only $2.95 per trade and $0.40 for every contract.
As far as software fees go, you can use their ActiveWeb for free, but the company will charge you for using the SureTrader Pro and the mobile app. However, the prices differ in regards to your professional trading level (non-pro or pro).
You also have to pay additional fees; for example, $50 for CME Futures and $15 for Level 1 Pink Sheet.
There are also miscellaneous fees: inactivity fee is $50, and the equity call fee is $25 per day. SureTrader says that they offer discount margin rates as well, but you have to contact them to learn more about them.
Thus, you can expect that the expenses will add up. Many discount brokers offer all these features free of charge. Hence, SureTrader is not for everyone.
SureTrader Trading Tools and Platforms
There are four trading platforms you can use:
- ActiveWeb – a free trading platform. It is similar to other platforms most brokers are offering. The features are useful, but a bit basic.
- SureTrader Pro – the company’s premium trading platform. If you want to use it, you have to pay the monthly fee – $49. There are many features, including hotkeys, advanced charting, etc. The charts are high-quality, and it is overall a fantastic platform.
- SureTrader Mobile – the company’s free mobile app. You should only use it for trading on the go because its features are basic.
- Idastrader Mobile App – an advanced app with a $35 monthly fee. However, if you subscribe to SureTrader Pro, you can use it for free.
What is their selling point?
The main advantage of using SureTrader’s services is the leverage. The company has 2-to-1 overnight leverage, as well as 6-to-1 intraday leverage.
SureTrader’s customer service is not up to standard. What’s more, they often leave clients on hold, and most representatives don’t have enough knowledge to help you.
Most users find that SureTrader is useful for short-selling techniques. That’s because they have a significant amount of stocks available and you can borrow them when the prices go down.
If you are using the SureTrader Pro platform, you can easily find such stocks by clicking the “Short List” tab. And, if you need to locate a stock, their live chat support can help you out.
Who should use SureTrader’s services?
If you are worried about the PDT rule (Pattern Day Trader), SureTrader might be the best choice for you. However, bear in mind that the rule is protecting you, even though it may not seem that way. Bypassing it can lead to account depletion.
SureTrader Pros & Cons
- If you are a small trader, you can bypass the PDT rule.
- The leverage is high.
- There are many stocks you can borrow.
- You can access the market directly.
- The fees will quickly add up and eat up your gains.
Some of the fees are unusual, like the outgoing funds’ fee. Most brokerages will not charge you for this.