How do I open an account?
Fill out the new account information form on our web site and submit
it. A TAIB customer service representative will call you to gain
a better understanding of your unique investment needs and guide
you through the account opening process. The customer service representative
will then mail/email the appropriate account opening document set,
comprising of the TAIB Bank B.S.C.(C) demand account opening form and
the usdirect trading account forms to you. Alternatively,
you could download the complete account opening set from our website.
Return the signed account opening set along with the required documents
TAIB Securities W.L.L
TAIB Bank B.S.C.(C)
P. O. Box 20485
Kingdom of Bahrain
I have mailed the completed forms and documents
to you. What is the next step?
Upon receiving the forms:
acknowledge receipt by email.
forms to see of they are complete in every manner. If complete and
approved we will open 2 accounts for
a demand account with TAIB Bank B.S.C.(C)
a trading account with the custodian Pinnacle Capital Markets,
the accounts have been opened, we will notify you through email
with account details.
What if the forms are incomplete?
If the forms sent by you are incomplete in any detail, we will request
you to resend the complete account application form to us.
I have received your email notifying me that
2 accounts have been opened for me. Why 2 accounts?
For using the usdirect service, you need to have 2 accounts
1. usdirect trading account - which reflects the various
stock positions that you have
2. Special demand account with TAIB Bank B.S.C.(C) - if you are already
an account holder at TAIB Bank B.S.C.(C) , you would not need another
Why do I need 2 different accounts?
The trading account holds the securities positions and cash
balances you have. The demand account with TAIB Bank B.S.C.(C)
allows efficient remittances to and from the trading account. This
is the account from which we would be conducting your fund transfers.
You need to have only 1 demand account with TAIB Bank for all your
OK, both my demand and trading accounts have
been set up. When can I start trading?
You can start trading as soon as your usdirect trading account
is funded. Depending on the type of account that you have selected,
you will have to remit a minimum deposit.
How do I transfer funds to the trading account?
1. Ensure your demand account has sufficient funds in it to wire
out the minimum initial deposit to the usdirect trading account.
2. Just fax us an instruction to transfer the money to your usdirect
If your demand account is not funded adequately (does not have sufficient
funds) you will need to wire money into the demand account.
What is the minimum account opening balance?
There are account minimums set for each type of service. Currently
the minimums for opening a cash account are US$25,000 and for opening
a margin account are US$50,000.
What types of accounts are offered by usdirect?
You may open an Individual, Joint or Corporate Account.
Are usdirect accounts insured?
Securities Investment Protection Corporation (SIPC) provides $500,000
of insurance per account; $100,000 for cash and $400,000 for securities.
For more information on SIPC click here www.sipc.org.
The custodian Pinnacle Capital Markets (CCS) provides supplemental
insurance in the amount of US$ 10 million.
Coverage does not protect against market loss, depreciation of portfolio
values or any other risk other than the failure of the broker-dealer
and/or its clearing firm.
Demand and trading account
How does the demand account facilitate operating
my usdirect account?
As mentioned above the demand account is the account between you
and your trading account. We recommend you keep the demand account
adequately funded at all times. Remitting and withdrawing funds
from the trading account is extremely simple. All that it takes
is a simple mailed / faxed instruction to us.
Do I get a cheque book for the demand account?
No you do not get a cheque book for the demand account.
Can I see my demand account online?
Yes, you can view your demand account balance on the Internet. Click
on the 'TAIB Online' visible
on our homepage - www.taibdirect.com.
What is a trading account?
The trading account is your active usdirect account, which
holds the cash balances and securities positions that you create
during the course of trading.
How can I get the details of the balances
and positions that this account holds?
These details are available to you online at the usdirect
website. You have to login with the userid and password given to
you. You will be able to see detailed reports on the Account balance,
Profit and Loss position and transactions placed. Click on the 'Portfolio
login' link visible on all usdirect webpages.
Can I remit additional funds or withdraw
profits from the account?
Yes you can remit and withdraw funds from this account. These procedures
are explained in detail in the 'Remitting and withdrawing funds'
What is a margin account?
A margin account is an account that allows you to borrow money against
the net equity of your account for the trading of specific securities.
All clients by default trade on a cash basis on usdirect.
Based on the trading history and performance of clients, TAIB could
offer margin trading to certain select clients. This offer is purely
at TAIB's discretion.
What is a short selling?
This is an
investment strategy in a margin account whereby you sell a security
you do not own in anticipation of a decline in the price of the
security. A profit can be realized if the security sold decreases
in value and is bought back at a lower price on some future date.
You can borrow money against fully paid-for securities that you
What are the risks of a margin account?
Your potential losses are greater due to leverage if there is adverse
market movement. If the market value of your securities declines,
maintenance calls must be met on specified dates or usdirect
will liquidate your securities to meet the call. The timing
of such a sale could be unfavorable. The potential loss on short
sales is without limit because there is no ceiling on the price
of stock. You need to weigh the risk involved with margin trading
before you decide to use this tool.
Please read the "Margin" section
on our web site.
REMITTING AND WITHDRAWING FUNDS FROM THE
How do I remit money to my trading account?
Remittances to the usdirect trading account can be made only
out of your demand account with TAIB. It follows that if your demand
account is sufficiently funded, a signed fax instruction to TAIB
would be sufficient. If however your demand account does not have
sufficient balance in it, then you would need to first remit funds
into the demand account.
How do I withdraw funds from the trading
Mail/fax a withdrawal instruction to us - duly completed and signed.
Subject to clear funds being available in your account, we will
arrange the wire transfer into your demand account.
Withdrawing money from the trading account
Under what circumstances would my remittance
request be refused?
Your instruction to withdraw funds might not be executed if the
amount of clear unencumbered funds available in your trading account
is less than the withdrawal amount you have requested.
If my withdrawal request is not executed,
how will this be resolved?
We will notify you of our inability to execute your request. We
will also indicate the maximum possible withdrawal that will be
allowed. You will have to mail/fax us a revised instruction. Provided
your new instructions satisfy the conditions described previously,
the funds will be transferred to your demand account.
usdirect is an online stock trading service provided by TAIBDirect.com.
It allows you direct access to trade on various US stock exchanges
and ECNs. usdirect offers you 2 different trading platforms,
1. usdirect Web
Our trading platforms are some of the most advanced online trading
systems in the industry. The softwares provide a fast point &
click order entry mechanism. By using usdirect you can rout
your orders to major exchanges, ECNs and market makers.
What is a broker assisted trade?
Our broker assisted trading program gives you access to our high-speed
execution systems without the need of a computer or other electronic
service. To place an order, all you will need to do is call one
of our trained brokers on 00973-17 549499.
All usdirect customers can use our brokers to handle their
trades. There is a fee, so please check our fees and commissions
section. In the event we are unable to offer total web access service,
we may make our brokers available for regular commissions. All calls
to the trading desk are recorded for quality and integrity.
How do I know when my trade has been executed?
You will see a record of your executed order on-line via your web
browser. You will also have the ability to access your account order
history on a screen that records all executed orders and cancellations
for any trading day.
To access your account, simply go to the "Portfolio Management"
area on the usdirect website.
What happens if there are multiple fills
on my order?
Multiple fills on one order qualify as one trade, and hence will
be billed as one ticket. In other words, if you placed a market
order for 5000 shares, and this trade was filled at 5 different
prices in increments of 1000 shares each, it will count as one trade.
However, if after only 2000 shares were filled and you cancel the
rest of the order and re-enter the other 3000 at a different price
or with a limit, this will count as a second trade.
Who is the clearing agent for usdirect?
Pinnacle Capital Markets Inc. (CCLS) clears all securities transactions
and handles all cash and securities for usdirect clients.
CCLS is the clearing agent for many online brokerage service providers
in the USA.
Can I place an order when I do not have access
to my computer or my ISP is down?
Yes. Just call one of our brokers. The commission rates for Broker-Assisted
trades are different from those of Direct Trading. However, in event
of a systems outage we shall do our best to accommodate you fairly.
(We haven't had one yet.)
Can I trade outside of market hours?
Yes. usdirect enables you to execute your orders before the
market opens and after the market is closed. Trading is available
from 8:00AM TO 8:00PM (US Eastern Time).
After regular trading hours we provide access to several non-traditional
exchanges like, Instinet, Nextrade, Island, and SelectNet.
When entering an order outside of market hours, remember that liquidity
may be limited and you may be subject to some additional risks.
Please read the "Risks and Disclosures" section on the
usdirect web site.
What securities can I trade through usdirect?
You can trade U.S. stocks and options through usdirect.
Can I practice on usdirect before I begin
Yes. In our Direct Access trading area, you can enable your account
for mock trades with real prices. This gives you a realistic evaluation
of your trading performance. When you open your account, ask our
Customer Service Representatives to permit your account to mock
trade. That way you will only be billed for the data and not charged
a commission. As soon as you switch your account from mock trading
to regular trading, you will be billed at the normal commission
What are your commissions?
We have formulated a sliding brokerage scale. Volume discounts are
available for frequent traders. Please refer to the commissions'
structure for more details.
Hardware and Software
What about Internet and system reliability?
The Internet has increased the ease and convenience of placing orders
for securities. You should not assume, however, that it will always
be available. Any computer system, whether it is yours, your Internet
Service Provider's, or your brokerage's, can experience unscheduled
outages or slowdowns for a variety of reasons. Although we have taken
precautions to ensure that our systems can handle heavy use in fast
markets, neither we nor any other online brokerage can promise complete
reliability under all circumstances. If you experience problems, you
can always place an order by calling our brokers in Bahrain for a
broker assisted trade, and, on a case by case basis, we may not charge
the higher commission rate.
Which are the preferred browsers for usdirect?
taibdirect.com works most efficiently when using either the
latest version of Microsoft Internet Explorer 5.0 or later version.
If you are experiencing difficulty with your current browser, you
may want to download an updated copy of your browser.
What is Adobe Acrobat Reader? Why do I need
With Acrobat Reader, you can download, view and print account statements
in their original format (called Portable Document Format or PDF
for short). The Acrobat Reader software, including instructions
for installation, can be downloaded for free from the Adobe Systems
Adobe Acrobat is the new standard in paperless publishing. We use
it for all of our applications, research documents and statements.
Acrobat Reader here
Do I have to connect via the Internet?
If you would like to direct your own trades then you do need an
Internet connection. usdirect Web can be accessed using the
web browsers over the Internet. usdirect Web & usdirect
Ultimate clients use TCP/IP protocol over the Internet. You
do need to have a regular and reliable Internet Service Provider.
However, you can still use our advanced trading systems by calling
our brokers and doing a Broker Assisted Trade.
What is an ISP and why should it matter which
service provider I use?
An ISP is an Internet Service Provider. The ISP provides you with
a connection to the Internet. Hence the ISP directly determines
the speed of you connection. A good ISP should be able to connect
you at speeds in excess of 28.8 kbps.
What are minimum system requirements for
The software requires at least a Pentium II processor with 300 MHz
speed, 64 MB RAM, with Windows 95/98 or Windows NT 4.0 operating
A dial-up or leased line Internet connection of at least 28.8 kbps.
How secure is usdirect?
Very. Security is among our highest priorities. We offer our clients
some of the most advanced security technology available. We employ
128-bit Secure Socket Layer (SSL) encryption software. Clients are
advised to upgrade their web browsers from time to time, to keep
up with the technology.
What is back office?
Most individuals think trading is just buying and selling, but self-directed
trading is different. You are now in the driver's seat and must be
able to access your account and records easily. This is what we call
Back Office Operations (your account, your money, how to figure out
how much you can trade and what you can hold overnight). All very
relevant questions. Some people will tell you that all Clearing Firms
are the same, but they're not. Being that most on-line traders are
not fully conversant with market accounting practices , our clearing-firm
has tried to make life simpler for traders.
In order to access your
back office click on the 'Portfolio Login' link in the left column.
What are the important features?
usdirect gives you access to online margin reports, daily
econfirms, trade breakdown on a daily, monthly, and yearly basis.
Our position Information shows all positions held overnight including
closing price and total number of shares carried overnight. Updated
and Accurate Cash Entries. A record of cash receipts and disbursements.
Can I review my trade history?
Most traders have enough to worry about with the day's activities.
They should not have to worry about trying to remember what they
traded four weeks ago. We make all your trade records available
for you on a daily, monthly, and yearly basis. (This information
comes in real handy around tax time.) We even offer daily trade
blotters. Having your trade records easily accessible and easy to
read will free up time for you to do what you should be doing -
What are econfirms?
econfirms are end of day electronic confirmations of your trading
activity for the day.
Can I track my cash history?
Yes. By accessing your account online, you can track all cash entries
and disbursements. All cash movements can be queried right down
to the day or month it happened. You have all that information,
right at your fingertips.
So what does all this mean?
No more calling. No more being put on hold to see if a transfer
or check request went through. Just quick and easy access to all
your reports and financial records.
All securities and accounts are through Pinnacle Capital Markets, Inc. ( NASD, SIPC ). Disclosure
Copyright © 2002 taibdirect.com. All rights reserved.