They didn't realize that if people lost money they would quit trading. The owners of the offices were not equipped to continually train the traders and offer support and on-going advice to insure the traders success. See, in the beginning it was very simple. While watching a screen, as soon as you saw offers fading you would obtain an execution at the offer, then simply sell the stock when it traded up a certain percentage. That worked like shooting fish in a barrel when there was only about 300 guys trading back in the early days.
Market makers are also very shrewd cats.
Remember, when you buy or sell, somebody is on the other side of the trade. Offering you complete freedom to be your own boss and work on your own terms. Though online investing isn't for everybody, it can be a powerful tool for investors who are disciplined about research, make carefully reasoned decisions and maintain a balanced portfolio. If you are new to online investing, don't put your entire life savings into an online account. Start with a smaller sum, which will be easier to handle and keep track of.