Warrior Trading Blog

CenterPoint Securities Review 2019: What We Do and Don’t Like

CenterPoint Securities
  • Value For Investors
  • Value For Active Traders
  • Commissions & Fees
  • Platform & Tools
  • Customer Service
  • Order Execution
4.8

CenterPoint Securities is a stockbroker that was created with the sophisticated trader in mind that also charges highly competitive pricing and brokerage fees compared with other brokers. They are well known for being able to lend to their customers hard to borrow stocks and provide excellent customer support and service. They also have a reputation for helping traders gain an edge in the market. But are they the right stock brokers for you? Find out in this review.

About CenterPoint Securities

It is a division of Precision Securities, which is a member of both FINRA and SIPC. CenterPoint has been in operation since 2000 and has been offering professional and experienced brokerage services to traders. They have been particularly helpful when it comes to shorting stocks.

CenterPoint Pricing

1. Commissions
This brokerage offers its clients three commission plans. The standard plan is the cheapest and was designed for active day traders. Charges range between $0.002 and $0.004 per share and depend on the total trading volume for that month. The all in all plan was centered for institutional traders, and trades range from $0.0065 to $0.0045 per share. The last program is the ticket plan in which clients who sign up for it pay between $3.95 to $5.95 per trade. But traders trading more than 4,000,000 shares in a month are offered reduced fees in all the three schedules.
2. Opening an Account
Since CenterPoint Securities is an online brokerage that is tailored towards high net worth investors, the minimum deposit is quite high. While the industry brokers charge a minimum fee of at most $10,000 to open an account, with CenterPoint the charges are thrice as much. So active traders opening an account will be required to deposit not less than $30,000. You can also apply for membership even if you are not a US resident as long as you meet the set requirements.
3. Software Fees
Centerpoint offers three software plans which are to be paid on a monthly basis. They range from $120 to $150. However, if a trader meets the minimum trading volume that is from 300,000 to 1,000,000 shares, they can avoid these hefty charges.

CenterPoint Trading Platforms

RealTick
It is the most expensive but most powerful trading platform on CenterPoint. The pro edition plus data feeds, is $505 paid on a monthly basis. But there is an Express version that is cheaper and still comes with time and sales data as well as hotkeys. Both the Pro and Express editions have scanning tools and watch lists, only that with the cheaper version the watch list symbols are limited to 100. Some features that make the Pro edition stand out include the mobile app, API functionality and clients can stream in financial news.
DAS Trader Pro
It is the cheapest platform which provides all the necessary tools that customers need to make money. Features include advanced charting tools, multiple monitor support, various stop types, latest market news, and fast execution. Tasks are already distributed on multiple windows, but if you don’t like how they are divided, you can move them around the platform. You also get access to level II quotes that show data from multiple venues including NYSE, NASDAQ, BATS, and Direct Edge.
Sterling Trader Pro
Fees range from $175 to $235 per month, making Sterling Trader Pro the second most expensive platform. Features include level II data that is available in real time, advanced charting and it also allows basket trading. Clients can also set up alerts and create and save watch lists. The platform is also compatible with API which means you can integrate your own software tools if you wish. You also get regular updates of financial news and equities.

Which Trader Can Benefit Most From CenterPoint Security?

Unfortunately, CenterPoint does not accept applications from all traders. The brokerage only accepts professional, institutional and experienced traders. So, if you fit in any of those categories, CenterPoint will be the best for you. Also, note that CenterPoint only works with high-net-worth investors, it may not be the right brokerage house for educational or instructional resources.

Pros
• Business executions are fast
Other brokers cannot compete with CenterPoint’s trading Speed.
• Excellent customer support
Traders need to talk to their brokers from time to time. That is why Centrepoint’s trading desk has different phone numbers from its customer service line.
• Best brokerages for shorting stocks
The company works with the local providers to find shortable stocks. Not to mention they also work together with four clearing firms something that allows them to get access to hard to borrow stocks.

Cons
• The company accepts applications only from high net worth investors
• Trading charges are expensive on their trading platform
• Clients pay a mandatory market data that range from $15 to $228 per month

Final Thoughts

CenterPoint is an excellent platform for a professional trader with a large account. Plus, it provides a free trial demo which means you have nothing to lose if you try out for the first time. But if you are a small trader, try exploring other brokerages like TradeStation or Lightspeed.

0 Comments

Leave a Reply

Your email address will not be published. Required fields are marked *