Strategic Partnerships
Strategic
Partnership: Scottrade Inc.
© 2010 Trade Ideas LLC, All rights reserved
Background
Trade-Ideas PRO & The OddsMaker are integrated into the
Scottrade ELITE Platform for Active Traders
Long-term agreement in place 5 years since 2005
Current status of agreement: renegotiation of existing
contract
Monthly average number of active traders using Trade-Ideas
in ELITE: 15,000
Monthly average number of active traders using ELITE:
30,000
Active Trader & DART
Performance
ELITE Platform Before Trade Ideas
With Trade Ideas
from 2005 to 2008
from 2005 to 2008
Trade Ideas 2009*
Monthly average # active traders: 30,000
DARTs: 60,000
DARTs/trader: 2
Monthly average # active traders: 4,000
DARTs: +40,000
DARTs/trader: 10
Monthly average # active traders: 15,000
DARTs: +75,000
DARTs/trader: 5
Incremental Revenue
Analysis
2005 to 2008 Gross Revenue increase attributable to use of
Trade Ideas technology: $161,280,000
4,000 TI users x 8 (DART difference among active traders) x $7/DART x 20 trading days/mth x 12 mths x 3 yrs
4,000 TI users x 8 (DART difference among active traders) x $7/DART x 20 trading days/mth x 12 mths x 3 yrs
2009 Gross Revenue increase attributable to use of Trade
Ideas technology: $75,600,000
15,000 TI users x 3 (DART difference) x $7/DART x 20 trading days/mth x 12 months x 1 yr
15,000 TI users x 3 (DART difference) x $7/DART x 20 trading days/mth x 12 months x 1 yr
Overall Gross Revenue increase attributable to Trade Ideas
technology in 4 years: $236,880,000
Annualized increase: $59.2M
Annualized increase: $59.2M
Takeaways
1.Among active traders at Scottrade the DART
difference factor between customers using TI vs non-users: 5x
2.Since 2009 an almost 4x increase in users
translates into 2x increase in DARTs
Source: Internal TI benchmark data derived from TD Ameritrade
and Scottrade information
*Note: To promote awareness among its
active traders, Scottrade began in 2009 to prominently feature
TI in the ELITE platforms default layout
TI in the ELITE platforms default layout