A former Merrill Lynch vice president says he will offer zero commission online stock trading in 2 1/2 weeks. His Web site, Zecco.com, currently offers news, charts, blogs, and discussion forums. Trading is due to begin Oct. 9th.
Jeroen Veth said Zecco.com will sustain itself through advertising. "We run a lean operation, use the latest technology and rely entirely on word of mouth, guerilla marketing, viral campaigns and public relations to get the message out," he said in a news release.
“Think of Zecco.com as the intersection where online brokerage meets Yahoo Finance (NASDAQ:YHOO) and Myspace (NASDAQ:NWS)," he continued. "We believe investors want to share ideas and opinions – and we want to make it possible for anyone – customer or not – to do that on our Web site."
Other backers of the venture include Morten Lund, an early investor in Skype (NASDAQ:EBAY) and Pier Baarsma, former CEO of Dutch Coca Cola.
"We are unusually well financed for a startup and I believe the ‘big boys’ will pretty soon realize they are in for a serious fight," Veth added in his statement. Thanks for the tip, Om Malik.
Disclaimer: I own shares of Yahoo.