Centerpoint Securities Review: Their business started in 2000 and is now a brokerage firm for professional traders. Or, as CenterPoint puts it, It is for active, sophisticated investors and those striving to be full-time traders. This broker is best for traders with larger money and time resources. They are also great for shorting stocks.
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Centerpoint Securities Review Introduction
When I was asked to do some research for this Centerpoint Securities review, I immediately remembered that Centerpoint is known for being one of the best US brokers for locating shortable stocks. Before we get to that feature, let’s go for a little introduction to Centerpoint Securities.
CenterPoint Securities is one of the best shorting brokers. Their easy-to-borrow shortlist is very popular with active traders and institutional investors. “Serious” traders looking for direct access platforms should consider Centerpoint Securities. At least for their locations, rates, routes, and customer service. CenterPoint Securities is part of Precision Securities and is a FINRA (Financial Industry Regulatory Authority) member and SIPC (Securities Investor Protection Corporation).
Customer Service
Naturally, professional traders expect professional customer service. By all accounts, this is what they get with CenterPoint Securities. Calling your broker and talking to an earthling (or humankind) is not as easy as before automation. When having your money on the line, calling a broker that puts you on hold and makes you wait can be a real stress test.
You know the feeling? Those automated answering system sounds like this when you’re in a rush to talk to somebody:
“Thank you for waiting for us at your expense. Your call is surely important… to you. I’m sorry (well, not really, I’m only a voice in a machine), but all of our operators are busy NOT answering you at the moment. Please stay on the line while we play boring music. Your call will hopefully be answered before you lose your money!”.
Rather than an automated system, CenterPoint will likely have a live “human” agent answer you within a few rings. It is a rare event nowadays. Make sure to read the other Centerpoint Securities review articles on Google. You can never do too much research before you jump into any new service. The best way is always to try it yourself.
COURSE |  |  |  |
|---|---|---|---|
| DESCRIPTION | Learn how to read penny stock charts, premarket preparation, target buy and sell zones, scan for stocks to trade, and get ready for live day trading action | Learn how to buy and sell options, assignment options, implement vertical spreads, and the most popular strategies, and prepare for live options trading | How to read futures charts, margin requirements, learn the COT report, indicators, and the most popular trading strategies, and prepare for live futures trading |
| INCLUDED | Daily watch lists • Trade rooms • Trading scanners • Discord • Live streaming Day Trading > | Daily watch lists • Trade rooms • Options scanners • Discord • Live streaming Options > | Futures target levels • Trade rooms • Real time teaching • Discord • Live streaming Futures > |
PDT Rule
Since CenterPoint is for professional, institutional, sophisticated investors and more experienced traders, meeting the Pattern Day Trader requirements is not a concern of their clients.
The minimum required to open an account is $30,000. You’ll need deep pockets to get in the door, but it’s worth the admission price if you will appreciate the value.
As I said, CenterPoint’s reputation for locating stocks to short, including hard-to-borrow stocks, is what attracts many active day traders to their service. It may not be the brokerage house to go to for your trading education, but it is certainly one of the best for executions (of your trades).
This is one of the main attractions of Centerpoint and why you see hardcore traders flocking to the service once they decide to get serious about day trading and short selling in particular. Check out a list of the top trading companies.
Executions and Routes
Talking about executions, CenterPoint Securities offers several clearing choices, including Wedbush Securities, ETC Clearing, Vision Financial Markets, and Hilltop Securities. CenterPoint clients have access to over 30 venues for direct routing. That is a pretty strong network.
Some available market makers and ECNs include CPSMRT, TAILOR1, CNSDQ, and ARCASMRT. Keep in mind that adding and removing liquidity comes with fees and rebates.
Check out other Centerpoint Securities review articles on their fees. Most brokers are always changing their fees, and keeping up with them is hard.
One day, they’re the most competitive; another day, they are not. It all depends on the market and what other brokers are offering. Supply and demand in action…
In addition to focusing on professional investors, CenterPoint Securities caters to traders who frequently short stocks. They have a reputation for having one of the best shortlists available.
For most active traders, the availability of hard-to-borrow (HTB) and easy-to-borrow (ETB) stocks is one of the biggest appeals of CenterPoint.
CenterPoint Securities Fees and Pricing Review
CenterPoint has three pricing schedules. One package of the three is best for institutional clients. Let’s take a look at the other two. The volume of shares prices the standard commission plans, and the per-ticket plan is at a fixed rate per trade. The standard plan fees start at $0.004 per share and go as low as $0.002 per share, depending on monthly volume. Your monthly volume has to exceed 300,000 shares to get a reduced price per share. That’s an average of 15,000 shares per trading day in the month. This type of trading activity might be right up your alley.
Get updated pricing here.
Pay Per Ticket
The pay-per-ticket plan starts at $5.95 and goes as low as $3.95 per trade with volume. If you are trading a lot of shares at a low price, the per-ticket plan would be more beneficial to you. You might not know about the fees if you’re a big-time trader. Because of the executions and technology, you may not be worried about the fees.
However, your trading cost doesn’t stop there. Add to this the routing fees, regulatory fees, platform fees, the monthly charges for market data packages, the usual miscellaneous fees for wire transfers, broker-assisted trades, and, last but not least, the HTB (hard to borrow) fees.
Yes, the cost of trading with CenterPoint Securities is higher than most online brokerage discount firms. However, for higher net-worth traders who are active daily, such fees are normal and are the cost of doing business. Review other Centerpoint Securities review posts to review their costs and fees.
Centerpoint Securities Trading Platforms
CenterPoint Securities has multiple platforms to choose from with different price levels.
$100 per month – The “CenterPoint Trader” is the least expensive platform. It’s not the most original name, but don’t let that fool you. It is based on the powerful Sterling Trader platform.
It has the sophisticated trading tools most day traders need to get the job done. Sterling is also available for other brokers. It is very popular here in the US and abroad among serious traders.
Real-time data, charting, streaming news and analytics, advanced charting, programmable keys, and smart destination preferences for order entry… you got it. And it does have both desktop and mobile capabilities.
$120 per month – The DAS Trader Pro trading platform from DAS Inc. provides professional-level access and data for many exchanges like Nasdaq, NYSE/ARCA, Direct Edge, OTC markets, and BATS.
Add-ons like DAS WEB and DAS APP allow you to trade from a web browser or mobile. DAS is a household name in the day trading community. And for good reason.
Sterling Trader Pro
Clients will gain access to every NYSE floor broker and routing tactics for exchanges, ALGO, dark pools, liquidity providers, and too many features to list here.
$250 per month – The Sterling Trader Pro platform gives traders complete control. Sterling Trading is one of the most widely used trading platforms for professionals in the industry. It allows trading of equities, options, and futures.
It is considered by many as the best online trading platform on the market, especially for institutions. Equity trading is available to major US exchanges and worldwide markets such as Canada, Brazil, Europe, Hong Kong, and Shanghai. Learn more here: Sterling Trader PRO.
Final Thoughts: CenterPoint Securities Review
Centerpoint Securities provides a free demo trial. If you have the funds to open a margin account with them, try out one platform.
CenterPoint Securities will serve experienced traders who want a broker who specializes in their needs well. You’re getting good technology, excellent short borrows, and access to a large network—all good stuff.
Because the best broker and trading platforms do not make you a professional trader. If you want to become a pro, it is just like any other career. It would be best if you first got a proper education.
Frequently Asked Questions
Investors cannot purchase shares of CenterPoint Securities because the company is privately held.
CenterPoint Securities is a member of both FINRA and SIPC. They are a legitimate broker that has been in business since 2000. This broker is popular amongst day traders that are looking to short stocks.
CenterPoint Securities requires a minimum deposit of $30,000 because they are a top-tier high-volume trading broker.
CenterPoint Securities overnight fee is on top of their locate fee. It is three times the locate fee. For example, if the locate fee is $25, holding the stock overnight would cost $100 ($25 Locate Fee + $75 Overnight Fee).
The locate fee is a flat fee that's charged when you accept HTB (hard to borrow) shares. For example, if you accept 1000 shares of a stock and the fee is $0.03, you'll be charged $30.
