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Spider šŸ•·
@UnderCoverHedgefund
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(EDIT: I ADDED AN EXAMPLE OF 1 ONE OF THE WAY HOW YOU CAN GET RESTRICTED READ PLEASE) Daytrading on Public - The small differences that matters, how you do it properly without getting restricted, and the other crucial information needed! Straight to the point day trading is when you buy and sell a stock the same day, Simple. TO DAY TRADE WITH NO ISSUES THE SEC REQUIRES YOU TO HAVE $25,000 IN YOUR ACCOUNT AT ALL TIMES The reason why is because day trading is done on margin, aka borrowed money. "But why Spider, why is the money borrowed when the money is in your account?" It's because it takes about 1-2 days for the trades to clear each time you buy and after you sell, and day trading is done so frequently that waiting 1-2 days for the trades/money to clear while allowing more trades to be done is extremly risky for the firm/broker to just take the persons word that money will be there, so this is why the $25,000 is suppose to be in the account at all times and then trading is done on margin even though the money is borrowed the firm/broker isnt really risking their money because the 25k is there to cover it. PUBLIC LIFTED DAY TRADING RESTRICTIONS SO I CAN DAY TRADE NOW RIGHT? eehhhh no. but yes. but no. This is where it's going to get a bit confusing so follow along as best as you can. You will no longer get restricted on Public for doing daytrades BUT the SEC can still restrict you and you can also still get restricted for other violations. IF YOU WANT TO DAY TRADE ON PUBLIC YOU NEED TO KNOW THESE 2 TYPES OF VIOLATIONS and AVOID DOING THEM FIrst you need to know UNSETTLED CASH UNSETTLED CASH is money that comes from deposits, selling, wires, etc you have to wait at least 1-2 days for the transaction to clear. Once it clears your UNSETTLED CASH will turn to WITHDRAWABLE CASH. If you arenā€™t restricted then youā€™re given BUYING POWER while UNSETTLED CASH settles, which if you are restricted thatā€™s the drawback. 1. GOOD FAITH VIOLATION- this happens when you sell a stock causing your account to have UNSETTLED FUNDS (which is ok), now if youā€™re not restricted youā€™ll be givin BUYING POWER as well, so you buy another stock the same day and then the next day you decide to sell that stock while the UNSETTLED FUNDS havenā€™t cleared yet. For example you bought $100 worth of shares from $TheCompany last week and TODAY it went up to $110 and you decide to sell all of it. So youā€™re given the $110 as BUYING POWER (but itā€™s still UNSETTLED CASH) and use the $110 to buy shares from $TheBusiness TODAY.(this is still fine to do) Now the NEXT DAY $TheBusiness stock went up to $120 so you decide to sell it. This causes a good faith violation because you needed to wait first for the UNSETTLED CASH to clear(takes at least two days) before selling $TheBusiness. 3 violations in 12 months and you get RESTRICTED for 90 days aka end up in Public Jail.1 more after that and thereā€™s a chance all your stocks will be sold and your Public account closed for 90 days. But donā€™t blame Public for this, their clearing firm has made it Policy so thereā€™s no way around it. 2. FREE RIDING VIOLATION- Itā€™s almost like a GOOD FAITH VIOLATION only the difference here is that instead of selling a different company you go and buy the same company again and the next day you sell it again at a higher gain. Example, you bought $100 of $TheCompany last week and sold all $100 today. Still today you then use that $100 to buy $TheCompany again, and then tomorrow $TheCompany goes up to $200 and you decide to sell it to take the gain. Basically this isnā€™t ok because you shouldnā€™t have been able to make that money because you technically didnā€™t have the money cleared yet meaning the money was UNSETTLED CASH you just were given buying power ā€œon the faithā€ that you were going to wait to let the cash settle. Like before after 3 strikes youā€™ll end up RESTRICTED or as we say Public Jail for 90 days. HOW TO DAY TRADE WITHOUT $25k ON PUBLIC THEN? If there's a loophole i'll find it, and this is how to day trade on Public, there's DAY TRADING and then theres PATTERN DAY TRADING. You want to make sure you're doing DAY TRADING, and its not like oh awesome i can do it all the time but hey at least it's some day trading right? While making sure you avoid the 2 violations i explained before you also need to make make sure you only do 3 day trades within 5 business days with settled funds only, on the 4th day trade you'll be marked as a PATTERN DAY TRADER and will be restricted. 3 DAY TRADES WITH SETTLED FUNDS WITHIN 5 BUSINESS DAYS! You can do 3 and the 4th one within 5 business days will get you tagged as a pattern day trader. You need/want to avoid being tagged as a PATTERN DAY TRADING IF YOU DON'T HAVE $25,000 IN YOUR ACCOUNT. You need to make sure you always use SETTLED CASH so you don't run into other violations that will get you restricted. (NEW EDIT)EXAMPLE: You decide to sell $100 of the $The Company today which gives you $100 in buying power, You cannot use that $100 to DAY TRADE with, because the cash is still unsettled, even though you have buying power you still can't use it for a day trade since you are only allowed to use SETTLED CASH for day trading unless you want to get restricted. You have to wait for it to clear before using, after it clears you are allowed to use that $100 to day trade with, if you havent done 3 already within 5 business days You need to comment how helpful i am & subscribe to my YouTube channel becauase it bothers so many people šŸ˜‚ https://www.youtube.com/channel/UC-3PLA7vsRD1RA8HGh7u7sg Sign up for Spidey Cents Text Alerts!(Both include 1 on 1 texting through my personal number so iā€™m available 24/7 [READ DESCRIPTIONS to understand 1 on 1 texting]) šŸ“²PremiumšŸ“² https://ko-fi.com/s/7a5427fe32 šŸ’ŽPro-LevelšŸ’Ž https://ko-fi.com/s/3c683b1b98 Twitter https://twitter.com/SpidersMethod IG https://instagram.com/_spidersmethod_ Facebook https://www.facebook.com/UndercoverHedgeFund
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All investments involve the risk of loss and the past performance of a security or a financial product does not guarantee future results or returns. You should consult your legal, tax, or financial advisors before making any financial decisions. This material is not intended as a recommendation, offer, or solicitation to purchase or sell securities, open a brokerage account, or engage in any investment strategy.

Stocks, ETFs, Options, Bonds.
Self-directed brokerage accounts and brokerage services for US-listed, registered securities, options, and Bonds, except for treasury securities offered through Jiko Securities, Inc., are offered to self-directed customers by Open to the Public Investing, Inc. (ā€œPublic Investingā€), a registered broker-dealer and member of FINRA & SIPC. Additional information about your broker can be found by clicking here. Public Investing is a wholly-owned subsidiary of Public Holdings, Inc. (ā€œPublic Holdingsā€). This is not an offer, solicitation of an offer, or advice to buy or sell securities or open a brokerage account in any jurisdiction where Public Investing is not registered. Securities products offered by Public Investing are not FDIC insured. Apex Clearing Corporation, our clearing firm, has additional insurance coverage in excess of the regular SIPC limits. Additional information can be found here.

Options.
Certain requirements must be met in order to trade options. Options can be risky and are not suitable for all investors. Options transactions are often complex, and investors can rapidly lose the entire amount of their investment or more in a short period of time. Investors should consider their investment objectives and risks carefully before investing in options. Refer to the Characteristics and Risks of Standardized Options before considering any options transaction. Supporting documentation for any claims, if applicable, will be furnished upon request. Tax considerations with options transactions are unique and investors considering options should consult their tax advisor as to how taxes affect the outcome of each options strategy.

Options Order Flow Rebates.
If you are enrolled in our Options Order Flow Rebate Program, Public Investing will share a percentage of our estimated order flow revenue for each completed options trade as a rebate to help reduce your trading costs. Rebate rates vary monthly from $0.06-$0.18 and depend on your current and prior monthā€™s options trading volume. This rebate will be deducted from your cost to place the trade and will be reflected on your trade confirmation. To learn more, see our Options Rebate Program Terms & Conditions, Order Rebate FAQ and Fee Schedule.

Bonds.
ā€œBondsā€ shall refer to corporate debt securities and U.S. government securities offered on the Public platform through a self-directed brokerage account held at Public Investing and custodied at Apex Clearing. For purposes of this section, Bonds exclude treasury securities held in treasury accounts with Jiko Securities, Inc. as explained under the ā€œ Treasury Accountsā€ section.

Investments in Bonds are subject to various risks including risks related to interest rates, credit quality, market valuations, liquidity, prepayments, early redemption, corporate events, tax ramifications and other factors. The value of Bonds fluctuate and any investments sold prior to maturity may result in gain or loss of principal. In general, when interest rates go up, Bond prices typically drop, and vice versa. Bonds with higher yields or offered by issuers with lower credit ratings generally carry a higher degree of risk. All fixed income securities are subject to price change and availability, and yield is subject to change. Bond ratings, if provided, are third party opinions on the overall bond's credit worthiness at the time the rating is assigned. Ratings are not recommendations to purchase, hold, or sell securities, and they do not address the market value of securities or their suitability for investment purposes.

A Bond Account is a self-directed brokerage account with Public Investing. Deposits into this account are used to purchase 10 investment-grade and high-yield bonds. The Bond Accountā€™s yield is the average, annualized yield to worst (YTW) across all ten bonds in the Bond Account, before fees. A bondā€™s yield is a function of its market price, which can fluctuate; therefore a bondā€™s YTW is not ā€œlocked inā€ until the bond is purchased, and your yield at time of purchase may be different from the yield shown here. The ā€œlocked inā€ YTW is not guaranteed; you may receive less than the YTW of the bonds in the Bond Account if you sell any of the bonds before maturity or if the issuer defaults on the bond. Public Investing charges a markup on each bond trade. See our Fee Schedule.

Bond Accounts are not recommendations of individual bonds or default allocations. The bonds in the Bond Account have not been selected based on your needs or risk profile. You should evaluate each bond before investing in a Bond Account. The bonds in your Bond Account will not be rebalanced and allocations will not be updated, except for Corporate Actions.

Fractional Bonds also carry additional risks including that they are only available on Public and cannot be transferred to other brokerages. Read more about the risks associated with fixed income and fractional bonds. See Bond Account Disclosures to learn more.

High-Yield Cash Account.
A High-Yield Cash Account is a secondary brokerage account with Public Investing. Funds in your High-Yield Cash Account are automatically deposited into partner banks (ā€œPartner Banksā€), where that cash earns interest and is eligible for FDIC insurance. See here for a list of current Partner Banks. Your Annual Percentage Yield is variable and may change at the discretion of the Partner Banks or Public Investing. Apex Clearing and Public Investing receive administrative fees for operating this program, which reduce the amount of interest paid on swept cash. Neither Public Investing nor any of its affiliates is a bank. Learn more.

Cryptocurrency.
Cryptocurrency trading, execution, and custody services are provided by Bakkt Crypto Solutions, LLC (NMLS ID 1828849) (ā€œBakktā€). Cryptocurrency is highly speculative, involves a high degree of risk, and has the potential for loss of the entire amount of an investment. Cryptocurrencies offered by Bakkt are not securities and are not FDIC insured or protected by SIPC. Your cryptocurrency assets are held in your Bakkt account. Bakkt is a licensed virtual currency business by the New York State Department of Financial Services and a licensed money transmitter, but is not a registered broker-dealer or a FINRA member. Your Bakkt Crypto account is separate from your brokerage account with Public Investing, which holds US-listed stocks and ETFs. Please review the Risk Disclosures before trading.

Treasury Accounts.
Investing services in treasury accounts offering 6 month US Treasury Bills on the Public platform are through Jiko Securities, Inc. (ā€œJSIā€), a registered broker-dealer and member of FINRA & SIPC. See JSIā€™s FINRA BrokerCheck and Form CRS for further information. JSI uses funds from your Treasury Account to purchase T-bills in increments of $100 ā€œpar valueā€ (the T-billā€™s value at maturity). T-bills are purchased at a discount to the par value and the T-billā€™s yield represents the difference in price between the ā€œpar valueā€ and the ā€œdiscount price.ā€ Aggregate funds in your Treasury Account in excess of the T-bill purchases will remain in your Treasury Account as cash. The value of T-bills fluctuate and investors may receive more or less than their original investments if sold prior to maturity. T-bills are subject to price change and availability - yield is subject to change. Past performance is not indicative of future performance. Investments in T-bills involve a variety of risks, including credit risk, interest rate risk, and liquidity risk. As a general rule, the price of a T-bills moves inversely to changes in interest rates. Although T-bills are considered safer than many other financial instruments, you could lose all or a part of your investment. See Jiko U.S. Treasuries Risk Disclosures for further details.

Investments in T-bills: Not FDIC Insured; No Bank Guarantee; May Lose Value.

Banking services and bank accounts are offered by Jiko Bank, a division of Mid-Central National Bank. JSI and Jiko Bank are not affiliated with Public Holdings, Inc. (ā€œPublicā€) or any of its subsidiaries. None of these entities provide legal, tax, or accounting advice. You should consult your legal, tax, or financial advisors before making any financial decisions. This material is not intended as a recommendation, offer, or solicitation to purchase or sell securities, open a brokerage account, or engage in any investment strategy.

Commission-free trading refers to $0 commissions charged on trades of US listed registered securities placed during the US Markets Regular Trading Hours in self-directed brokerage accounts offered by Public Investing. Keep in mind that other fees such as regulatory fees, Premium subscription fees, commissions on trades during extended trading hours, wire transfer fees, and paper statement fees may apply to your brokerage account. Please see Publicā€™s Investingā€™s Fee Schedule to learn more.

Fractional shares are illiquid outside of Public and not transferable. For a complete explanation of conditions, restrictions and limitations associated with fractional shares, see our Fractional Share Disclosure to learn more.

Investment Plans. Investment Plans (ā€œPlansā€) shown in our marketplace are for informational purposes only and are meant as helpful starting points as you discover, research and create a Plan that meets your specific investing needs. Plans are self-directed purchases of individually-selected assets, which may include stocks, ETFs and cryptocurrency. Plans are not recommendations of a Plan overall or its individual holdings or default allocations. Plans are created using defined, objective criteria based on generally accepted investment theory; they are not based on your needs or risk profile. You are responsible for establishing and maintaining allocations among assets within your Plan. Plans involve continuous investments, regardless of market conditions. Diversification does not eliminate risk. See our Investment Plans Terms and Conditions and Sponsored Content and Conflicts of Interest Disclosure.

Alpha.
Alpha is an experiment brought to you by Public Holdings, Inc. (ā€œPublicā€). Alpha is an AI research tool powered by GPT-4, a generative large language model. Alpha is experimental technology and may give inaccurate or inappropriate responses. Output from Alpha should not be construed as investment research or recommendations, and should not serve as the basis for any investment decision. All Alpha output is provided ā€œas is.ā€ Public makes no representations or warranties with respect to the accuracy, completeness, quality, timeliness, or any other characteristic of such output. Your use of Alpha output is at your sole risk. Please independently evaluate and verify the accuracy of any such output for your own use case.

Market Data.
Quotes and other market data for Publicā€™s product offerings are obtained from third party sources believed to be reliable, but Public makes no representation or warranty regarding the quality, accuracy, timeliness, and/or completeness of this information. Such information is time sensitive and subject to change based on market conditions and other factors. You assume full responsibility for any trading decisions you make based upon the market data provided, and Public is not liable for any loss caused directly or indirectly by your use of such information. Market data is provided solely for informational and/or educational purposes only. It is not intended as a recommendation and does not represent a solicitation or an offer to buy or sell any particular security.