I have a proven system...........

that works. On trafding stock CFD's i have made a lot of money. I am working on a website however which basically shows which stocks i trade, when to enter and when to exit. However i am unsure of liscensing and legal constraints. It wont be an advice service just a kind of watch me trade and learn from what i trade and then use this info how you like. Ive read many discalimers on stock newsletter sites so i was thinking that i could do the same thing. Any thoughts or comments would be appreciated.

Thanks
DW

email T2Win and ask

I don't know what the laws are in Australia, but how you word things is extremely important.

Make it clear that it is not advice that it is your 'actual trades'.
Make it clear that the person reading the site should seek independant financial advice before trading
Point out the risks of trading and that you can lose money as well.

Is the site free or does it require a fee? If you are charging a fee make it clear what they are paying for, i.e. not advice.

Another thing to be carefull of is people imitating you and trying to sell your system.
I allowed stats on one of my BOM accounts to be viewable - I made about 2000% profit on this account. Then I started receiving phone calls from unhappy people who had paid money for what they thought was my system. Anyway to cut a long story short, I sold my website, changed my phone number, etc.. In the end it just wasn't worth the hassle.

Thankyou Alan.

I guess if i actually document real trades which was my plan anyway, then i will be able to argue that people are paying a subscription to watch an actual trader trade and make decisions. I would never actually reveal my indicators in terms of how they are calculated but i can show a graphical representation of what i consider to be an undervalued/overvalued stock and why i made the trade. People could then see which trades i am considering entering and where i am considering entering and make up their own minds. Hopefully historical results will result in people making up their own minds on what to do, obviously seeking professional independent advice, before making their decision.

take a look at the disclaimers on the collective2.com site.

Investment advice is regulated. Publishing is not. You can publish pretty much whatever you like as long as you are not telling people to invest in something.

williadb said:

that works. On trafding stock CFD's i have made a lot of money. I am working on a website however which basically shows which stocks i trade, when to enter and when to exit. However i am unsure of liscensing and legal constraints. It wont be an advice service just a kind of watch me trade and learn from what i trade and then use this info how you like. Ive read many discalimers on stock newsletter sites so i was thinking that i could do the same thing. Any thoughts or comments would be appreciated.

Thanks
DW

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You could just start a blogsite ?!

williadb said:

that works. On trafding stock CFD's i have made a lot of money. I am working on a website however which basically shows which stocks i trade, when to enter and when to exit. However i am unsure of liscensing and legal constraints. It wont be an advice service just a kind of watch me trade and learn from what i trade and then use this info how you like. Ive read many discalimers on stock newsletter sites so i was thinking that i could do the same thing. Any thoughts or comments would be appreciated.

Thanks
DW

Click to expand...

If it works so well and you have made so much money why do you want all the hassle of setting up a website and selling a service? In Australia, unless you have taken the approprite courses and are properly licensed by ASIC, you will have an army of inspectors at your door within hours of the website going live.

why would you want to sell them all the time? why not trade them all the time?

RIsk:Reward Trading someone system..you risk your own money

selling someone a system..they risk their money paying for your porsche!!!

NedKelly said:

If it works so well and you have made so much money why do you want all the hassle of setting up a website and selling a service?

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To make more money perhaps?

Aside from that obvious one, many people get a good sense of fulfilment from informing and educating others. I for one do.

si1503 said:

To make more money perhaps?

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If the system is that good, just double, triple, quadruple, etc. the number of lots.

si1503 said:

Aside from that obvious one, many people get a good sense of fulfilment from informing and educating others. I for one do.

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So do I , but I would never charge.

Arbitrageur said:

why would you want to sell them all the time? why not trade them all the time?

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As someone who's currently polishing up a system for sale:

1. Auto-trading is harder than it looks. Technical issues, legal issues, knowing the market, etc. etc. etc. are all headaches that you need to deal with.
2. You can get much lower commission on account sizes bigger than I can manage. Less commission = more profit. Although this is mostly an issue because my latest attempt is a frantic little thing (does about 4 roundturns per share per day).
3. It means getting enough money to both develop the next system, and actually trade it, if I choose to go down that path.

williadb said:

that works. On trafding stock CFD's i have made a lot of money. I am working on a website however which basically shows which stocks i trade, when to enter and when to exit. However i am unsure of liscensing and legal constraints. It wont be an advice service just a kind of watch me trade and learn from what i trade and then use this info how you like. Ive read many discalimers on stock newsletter sites so i was thinking that i could do the same thing. Any thoughts or comments would be appreciated.

Thanks
DW

Click to expand...

We published an article entitled "diary of a CFD trader" on our website Shareworld. This is UK based and when checking various items with the FSA we were advised that this sort of thing was against ther rules.

williadb said:

that works. On trafding stock CFD's i have made a lot of money. I am working on a website however which basically shows which stocks i trade, when to enter and when to exit. However i am unsure of liscensing and legal constraints. It wont be an advice service just a kind of watch me trade and learn from what i trade and then use this info how you like. Ive read many discalimers on stock newsletter sites so i was thinking that i could do the same thing. Any thoughts or comments would be appreciated.

Thanks
DW

Click to expand...

Don't know the rules in Oz but you will see we had a traders diary on Shareworld. When we were talking to the FSA about some other matter they told us they "didn't like" the concept of the trader's diary. And I mean in an official way, so we stopped doing it. I suspect if we had carried on they probably wouldn't have noticed or would have just given a friendly warning.
I am always amazed at what some (unauthorised) financial websites publish. Basically in the UK you cannot give specific investment advice, induce someone to invest in financial products (and that, apparently,means starting them off on the investment ladder in any way).
If you are not connected professionally to the financial industry then I suppose you could take a chance publishing your trades until someone says otherwise.