– What’s up, Tim Sykes
here with the lead trainer of Stocks and Trade, Tim Bohen. This is Trading with the Tims and today’s topic is all about brokers. What are you favorite brokers? – You know, I’m guessing
most of the viewers are newer brokers, or traders so I’mma start with something for you guys. We’ve recently at StocksToTrade
partnered with Tradier. Which is a great broker for the new trader because we’ve got this
deal with StocksToTrade. If you sign up with StocksToTrade and trade through our platform Tradier has unlimited
trades for $15 a month. Now, most of you are probably
gonna be under the PDT but keep in mind that means you’re still makin’ three trades a
week, maybe more if you’re goin’ overnight.
– Three day trades. – Three day trades a week, correct. And so, and then maybe you’re
even overnighting on trades. So you might be making
12, 15, 20 trades a month. That really adds up in commissions if you’ve got a small account with Tradier with StocksToTrade, you’re paying 15 bucks a month, flat rate. I think they’re the best
broker for the new trader. – For me, I don’t wanna trade that much. Commissions are negligible.
– True. – So I use E-Trade and Interactive Brokers – Both great, yup. – Both–
– Love Interactive Brokers. – Both big companies, I’ve really gotten kind of
safe and boring in my old age, in my 30s. You don’t want to risk too
much with your brokers. Like, brokers are necessary to make trades but I would not have like a prop firm. I would not have some like
sketchy offshore broker. There’s so many different
brokers with different schemes. I just don’t like it. I stick with multi-billion
dollar companies because even when the markets do crash the smaller brokers, the prop firms, they go out of business. Like, you sign your life away basically when you sign up for these brokers. And I’ve been there
– And you know– – When Oliver Valez, the
lying scumbag that he is his prop firm went out of business. One day I got like 12
cancellations from subscribers. I was like, what’s going on? I never get that many. Like I do video lessons,
I do pretty good alerts and I messaged them. I was like, why are
you guys all canceling? And it was because Oliver
Valez’s prop firm shut down. No explanation, literally overnight. You know, these people lost
a thousand, two thousand, five thousand dollars. Some people got some of it back, some people got none of it. Very sketchy stuff, I stick with E-Trade and Interactive Brokers. Again, not because I’m working with them. Some people are like, oh you’re
working with these brokers. These brokers actually hate me because I say don’t trade as much. I say, be a retired trader. E-Trade and Interactive Brokers for me they have good service, not great service, good executions, not great. Interactive Brokers is
better for short selling stocks like very low priced
stocks, under $2 a share. They’re not perfect, but
they’re better than E-Trade. E-Trade for shorting stocks between two and like $10 a share. If you’re buying, it
really doesn’t matter. I mean, you can use like
Fidelity, Schwab, Scottrade. – You know what I think,
one of the biggest things is a lot of these brokers that Tim mentioned, a lot of them are trying to help you get around some of the rules and I think you really– – Wait, not the brokers I just mentioned. – No no no no no yeah yeah yeah
– The prop firms. – Correct correct correct, yes, well said. – I respect the rules! – Yeah yeah.
– You don’t wanna bend the rules.
– And that’s my point. My point is–
– You can’t cheat your way to success. – Exactly and if you can’t
get consistent trading, if you can’t find your
niche with a legit broker the last thing you should
be doing is pursuing some of these other gray areas. – There’s just too much downside risk. – Yes.
– Like, you might get ahead a little bit. I mean, I’ve tried off-shore brokers, I’ve tried specialized
brokers to find more shares of the short when I was
heavily into shorting. It just, I just didn’t make that much because you’re trying
such specialized things like for me, a broker’s just– Okay I have to use them–
– And remember especially these day and age short selling, they’re
charging crazy fees. There’s borrow fees
– Short selling is crazy. – Locate fees, I mean it’s not as attractive
– I don’t even– – As it seems.
– I don’t even short that much anymore because of that. – Yup.
– Also, a newer broker, Robinhood, a lot of you guys bring them up because they don’t charge any commissions. From what I hear, they’re
market orders are terrible, their executions are terrible. You have to think, how does
a broker make their money. If they’re not charging commissions they’re making it other ways. So they’re actually routing your order out to other firms and taking
a little piece of the pie. You know, very sketchy questionable stuff. I’ve heard horror stories
galore with Robinhood. So for me, I want to pay small commissions because I’m with a big company. That’s the price of doing business. – Yup. – And I just like sleeping at night. I like being safe. – I’ve been there. So I’ve dabbled in
trading cryptocurrencies. For the last probably five years, dabbled. You know, but the moral of the story is twice I’ve been ripped off
by crypto trading brokerages. So they, two of ’em shut down on me. Lost all my money both. Well actually, one time
they sent me a check for like $80 or something. But, I’ve been there on
the crypto side of things and that happens in the stock world. Stick with the big names. Stick with the Tradier, stick
with the Interactive Brokers, stick with the E-Trades. If you get more consistent,
if you need a better borrow as you get more experience
then branch out. But at the beginning please stick with the reputable brokers.
– And if you have a ton of money feel free to branch out.
– Yes, yup. – Like if you have $500,000 it doesn’t hurt to open
a different account with like $5,000, risk one percent. But most people watching this, they have two, three thousand
dollars to their name. Like, what do you want to do. You have to think about this, what can you do today,
this week, this month, this year to put yourself
in a good position in the future. Like, trying to cheat
rules, trying to skirt rules is not gonna be that, right?
– Very well said. That was the point I was trying to get at. – You need to find a process that’s gonna work for you in the long run. You need to find a broker that’s gonna be there for the long run. If something is hot right now and you’re just not sure about it it might disappear in like a year or two. It’s just not worth the risk because it’s not gonna change your life big time in the future. Too many people are trying
to do anything they can to make a thousand dollars
or two thousand dollars. If you make money, that’s fantastic but there’s ways to make
money the wrong way. They teach you the wrong lessons there’s too much risk and if you keep making
the money the wrong way – Yes, some of ’em–
– it’ll blow up. – Some of them give you
ridiculous amounts of leverage which should be the last thing you– – Correct, so what if you’re
using a sketchy broker it’s working working working let’s say it works
– And they’re giving you 10 to one or 20 to one.
– Yeah, let’s say it works 10 times or 20 times and you’re getting so confident and you keep betting bigger and bigger and then you blow up. The whole key is not blowing
up and staying in the game. The biggest money that you’re gonna make will be several years from now. So be safe. For me, I use big brokers, safe brokers – Yup.
– E-Trade, Interactive Brokers I don’t work for either of them. I don’t get paid by either of them. I just use them. They don’t necessarily like me again, because I trade very little and I’m very patient which is how I think that you should be. But leave a comment below. Let us know if you think
this is a good video. If you want a safe broker
and also ask some questions in the comments below if you
have any questions for us. No question is too new or dumb or naive. We’ll answer anything,
we all start somewhere. Let’s get you wealthy, over
time using the right tools, like StocksToTrade and safe brokers that are not gonna rip you off. – Hey, Tim Sykes, millionaire
mentor and trader. Thank you for watching my videos. I hope that they help you.
I wanna share everything that I’ve learned over the years. You can check out more
videos right over there and also, click subscribe
so that you can watch all of these videos, get that knowledge and become my next millionaire student.