Are we able to limit contracts?

Am I able to limit the amount of contracts traded by the subscribers? I have systems designed to trade the S&P Emini’s, I currently lease them to my subscribers (not on C2) for a monthly fee per contract. If I list my systems on C2, am I able to limit the amount of contracts traded by the subscribers? I trade them personally and keep a tight reign on how many contracts are available to be leased to avoid slipping the market.

I don’t think C2 provides for this. Clearly, this is a feature that needs to be added.

I disagree.

Our role here is as a publisher; we provide information. What someone does with that information is entirely up to them.

If you’re concerned about your subscribers “moving the market” (unlikely with the ES contracts if trades are placed during the regular U.S. market session), you can always put a limit on the number of people allowed to subscribe to your system. Even then, any one of your subscribers could set up Autotrading at 10,000% scale, and there nothing you could do (or should be able to do) about it.

I see my role as a developer much differently than you, Jack. I’m not providing information and I seriously doubt any susbcriber thinks they are paying for information. I’m offering an investment vehicle and I assume susbcribers are paying a fee for a return on their investment.

By allowing them to trade as many contracts as their heart desires, they are getting more and paying less. Limiting the number of subscribers isn’t a solution as it collars the developers income and doesn’t address subscribers who trade size.

It is customary with Attain and other brokers that offer systems to limit and then charge more for a base number of contracts a subscriber trades. Liquidity isn’t the issue, Fairness is. .And allowing a susbcriber to make in inordinate retrun (through increased leverage) as a percent of his cost is unfair to developers.

The NFA and CFTC do not agree with you, Iris. You cannot charge money on the basis of how much money is under management, or on the basis of how many contracts are traded, unless you are a registered IB or CTA.

Collective2 is a publishing platform. You can charge for monthly subscriptions to your information service; that is all.


You might want to read the first Frequently Asked Question for System Developers on Collective2.

On Collective2, whether you are licensed financial advisor or not, your role is as a publisher. We provide information. What our subscribers want to do with it is none of our business.

You do have the option of being a money manager or financial advisor, elsewhere, and control what your clients do with their money. But, that isn’t something done here.

Yes, that is the legal jargon to allow C2 to operate under its business model so not to run afoul with the regulators, but the reality is subscribers are in this to make money, period. And if subscribers don’t make money from trading these systems, this so called information is worthless and they will cancel their subscription.