Understanding User Classifications

Your classification as either a professional or non-professional user is crucial for determining your access to StocksToTrade services and real-time market data. This classification is determined according to definitions set forth by both FINRA (Financial Industry Regulatory Authority) and the SEC (Securities and Exchange Commission).

Important: StocksToTrade is only authorized to provide real-time data services to non-professional subscribers. At this time, StocksToTrade does not provide any services to professional subscribers.

Non-Professional Subscriber Definition

A non-professional subscriber is a natural person who meets ALL of the following criteria:

You are NOT:

1. Registered or qualified in any capacity with:

   • The SEC (Securities and Exchange Commission)
   • The Commodities Futures Trading Commission
   • Any state securities agency
   • Any securities exchange or association
   • Any commodities or futures contract market or association

2. Engaged as an "investment advisor" as defined in Section 202(a)(11) of the Investment Advisers Act of 1940 (whether or not registered or qualified under that Act)

3. Employed by a bank or other organization exempt from registration under federal or state securities laws to perform functions that would require registration or qualification if such functions were performed for an organization not so exempt

In Simple Terms

You qualify as a non-professional user if you are an individual trader who:

• Trades for your own personal account
• Are not licensed in the securities industry
• Don't work for a financial institution in a trading capacity
• Are not a registered investment advisor
• Don't manage money professionally for others

Professional Subscriber Definition

A professional subscriber is represented by all other persons who do NOT meet the definition of a non-professional subscriber.

Examples of Professional Users:

• Licensed stockbrokers
• Registered investment advisors
• Employees of banks or financial institutions who trade professionally
• Anyone registered with securities regulatory bodies
• Portfolio managers at investment firms
• Financial advisors at brokerage firms
• Traders at hedge funds or investment companies

Why This Classification Matters

Data Licensing Requirements

Financial market data providers have different licensing agreements for professional vs. non-professional users:

• Professional users typically pay significantly higher fees for market data
• Non-professional users receive more affordable access to the same data
• These classifications help ensure fair pricing based on commercial vs. personal use

StocksToTrade Service Availability

• Non-Professional Users: Full access to all StocksToTrade features and real-time data
• Professional Users: Currently not supported by StocksToTrade's data licensing agreements

How to Determine Your Classification

Self-Assessment Questions

Ask yourself these questions to determine your classification:

1. Are you licensed in the securities industry in any capacity?
2. Do you work for a bank, brokerage, or investment firm?
3. Are you registered as an investment advisor?
4. Do you manage money professionally for clients?
5. Are you affiliated with any securities exchange or regulatory body?

If you answered "YES" to any of these questions, you likely qualify as a professional user.

If you answered "NO" to all questions and trade only for your personal account, you likely qualify as a non-professional user.

Important Considerations

Employment Changes

Your classification can change if your employment situation changes:

• Starting work at a financial institution may change you to professional status
• Obtaining securities licenses may affect your classification
• Becoming a registered investment advisor would make you a professional user

Gray Areas

Some situations may be unclear:

• Part-time financial work: May or may not affect classification
• Inactive licenses: May still classify you as professional
• Consulting roles: Depends on specific responsibilities

When in Doubt

If you're unsure about your classification:

1. Review your market data agreement form carefully
2. Consult with your compliance department (if applicable)
3. Contact support@stockstotrade.com for guidance
4. Consider seeking advice from a securities attorney for complex situations

Market Data Agreement

We highly recommend that you review your market agreement form, as it contains important information regarding:

• Specific criteria that distinguish professional from non-professional users
• Your rights and obligations regarding market data usage
• Terms and conditions of your data subscription
• Compliance requirements you must follow

What If I'm Classified as Professional?

Unfortunately, if you qualify as a professional user under FINRA and SEC definitions, StocksToTrade cannot currently provide services to you due to our data licensing restrictions.

Alternative Options:

• Check with your employer: Your company may provide professional-grade market data
• Professional data vendors: Consider Bloomberg, Refinitiv, or other professional platforms
• Wait for changes: Monitor if StocksToTrade adds professional user support in the future

Classification Verification Process

When signing up for StocksToTrade:

1. Self-Declaration: You'll be asked to confirm your non-professional status
2. Truthful Reporting: It's important to answer honestly based on your actual situation
3. Ongoing Obligation: Notify us if your status changes
4. Compliance: Misrepresenting your status could violate terms of service

Frequently Asked Questions

Q: I used to work in finance but am now retired. What's my classification? A: If you're no longer working in the securities industry and trade only for personal accounts, you likely qualify as non-professional. However, inactive licenses might still affect your status.

Q: I'm a student studying finance. Am I professional or non-professional? A: Students are typically non-professional unless they're employed by a financial institution or hold securities licenses.

Q: What if I occasionally give friends investment advice? A: Casual advice to friends doesn't make you professional. However, if you're compensated or registered as an advisor, you would be professional.

Q: Can my classification change? A: Yes, changes in employment, licensing, or registration status can affect your classification.

Q: What happens if I'm incorrectly classified? A: Contact support@stockstotrade.com immediately to discuss your situation and make necessary corrections.

Need Help Determining Your Status?

If you're still unsure about your classification after reading this article:

1. Review the definitions carefully against your specific situation
2. Contact support at support@stockstotrade.com with specific questions
3. Consult your compliance department if you work for a financial institution
4. Seek professional advice for complex situations

Remember, accurate classification is important for both compliance and ensuring you receive appropriate service levels.