“They said, ‘You blankety-blank fool, didn’t we tell you to take no
business from Larry Livingston? And you deliberately let him trim us
out of $700!’” He didn’t say what else they told him.
I tried the other branches one after another, but they all got to know
me, and my money wasn’t any good in any of their offices. I couldn’t
even go in to look at the quotations without some of the clerks making
cracks at me. I tried to get them to let me trade at long intervals by
dividing my visits among them all. But that didn’t work.
Finally there was only one left to me and that was the biggest and
richest of all--the Cosmopolitan Stock Brokerage Company.
The Cosmopolitan was rated as A-1 and did an enormous business. It
had branches in every manufacturing town in New England. They took
my trading all right, and I bought and sold stocks and made and lost
money for months, but in the end it happened with them as usual. They
didn’t refuse my business point-blank, as the small concerns had. Oh,
not because it wasn’t sportsmanship, but because they knew it would
give them a black eye to publish the news that they wouldn’t take a
fellow’s business just because that fellow happened to make a little
money. But they did the next worse thing--that is, they made me put
up a three-point margin and compelled me to pay a premium at first
of a half point, then a point, and finally, a point and a half. Some
handicap, that! How? Easy! Suppose Steel was selling at 90 and you
bought it. Your ticket read, normally: “_Bot ten Steel at 90⅛._” If you
put up a point margin it meant that if it broke 89¼ you were wiped out
automatically. In a bucket shop the customer is not importuned for more
margin or put to the painful necessity of telling his broker to sell
for anything he can get.
But when the Cosmopolitan tacked on that premium they were hitting
below the belt. It meant that if the price was 90 when I bought,
instead of making my ticket: “_Bot Steel at 90⅛_,” it read: “_Bot
Steel at 91⅛_.” Why, that stock could advance a point and a quarter
after I bought it and I’d still be losing money if I closed the trade.
And by also insisting that I put up a three-point margin at the very
start they reduced my trading capacity by two-thirds. Still, that was
the only bucket shop that would take my business at all, and I had to
accept their terms or quit trading.
Of course I had my ups and downs, but was a winner on balance. However,
the Cosmopolitan people were not satisfied with the awful handicap they
had tacked on me, which should have been enough to beat anybody. They
tried to double-cross me. They didn’t get me. I escaped because of one
of my hunches.
Public-domain text, read in full here on John Shaqi.
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