27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
TD Ameritrade Holding Corp. (NYSE: AMTD) declared its second-quarter earnings on Tuesday, which were below expectations. The company reported EPS of $0.35 on revenue of $803 million, compared to analyst estimates of $0.36 and $822.15 million, respectively.
TD Ameritrade CEO Fred Tomczyk was on CNBC recently to discuss the reason for the drop in performance and the subsequent "flash crash" arrests.
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!
Slow Equity
According to Tomczyk, banks and other financial institutions did better in the first quarter when compared to equity brokers because they also deal in currency and commodities trading.
He said, "The commodities market, our futures trades are up about 30 - 40 percent year-over-year, so they are quite strong. But the equity markets slowed down in the month of March."
'Flash Crash' Aftermath
Want Private Access to Benzinga Analyst?
Check out the latest strategies our team of experts are using every week so that you can always adapt to the market like the pros!—Get FULL Access to This Week's Webinar Here.
On the arrests made related to the "flash crash" in the U.K., Tomczyk said, "I haven't really caught up with it too much. I have read about the accusations of layering, spoofing. I think when we look back at the flash crash, it was some unusual movement.
"We had always heard it was like a fad thing or a trade out of Kansas City, so to hear all of a sudden it’s coming out of the U.K. Here we are, I don't know, three or four years later – [it] is a bit of a surprise to me."
Fully Invested
Tomczyk was asked if such incidents of market manipulation could result in potential investors to stay away from market. He replied, "It was certainly a pullback when the flash crash happened and some fear, no question.
"Having said that, I think that has been dismissed at this point. However, this will bring that up and we are bringing that talk where to go with high frequency trading again," he said.
"But I can tell you that retail investors today is, they are pretty fully invested right now," Tomczyk concluded.
Image Credit: Public Domain27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.