SogoTrade President Discusses the Impact of "Price Slippage" for Active Stock Trading

Low commissions mean a once small cost of stock trading becomes more important
NEW YORK--(Business Wire)--
The dramatic reduction in stock commissions, like the $3 online trades SogoTrade
(www.SogoTrade.com) offers, have made other marginal costs, which once seemed of
little concern to non-professional traders, become more important. Recently,
Dave Whitmore, president of SogoTrade, took the opportunity to discuss the
biggest of these costs, price slippage, and how it affects the active trader.

What is price slippage?

Dave Whitmore: Price slippage is the difference in prices between the time an
investor gets a signal or idea, makes a decision, places an order, and finally
gets an execution of the trade. At each of these points the price of the stock
can change, creating additional costs above the nominal cost of the commission.
When commissions could be as high as a few hundred dollars, these costs-often
only a few pennies a share-were insignificant. As commission rates have
declined, the importance of slippage has risen as a trading cost.

What causes price slippage?

DW: A variety of factors ranging from how actively traded the stock is, to the
bid/ask spread, to the speed of your brokerage`s order routing system. An
actively traded stock means that it might be easier to get shares at the
currently quoted price, but it also likely means that the price can change
quickly. In that case the most important thing is how fast you can execute the
trade. At SogoTrade, we`ve built one of the most robust trade execution
backbones of any retail brokerage with direct pipelines to all the major trading
venues. This means that once a trade gets to our system, it can often be
completed in milliseconds, ensuring the best odds of getting the price the
trader was expecting.

To learn more about how to control price slippage, please visit
http://tinyurl.com/c9yu7r.

About SogoTrade

SogoTrade (www.sogotrade.com) is the online division of Genesis Securities LLC.
(www.gndt.com). SogoTrade offers advanced online trading and research tools,
fast trade executions, and exceptional customer service. With $3.00 online trade
commissions, SogoTrade empowers investors to participate in financial markets at
a low cost.

SogoTrade, a division of Genesis Securities LLC. Securities products and
services are offered by Genesis Securities, member FINRA/SIPC.

Kitchen Public Relations
Sean Muir or Anne Steinberg
212-687-8999
smuir@kitchenpr.com or anne@kitchenpr.com

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