Authorization, Regulation and Prop Trading Companies

Discussion in 'Professional Trading' started by TraderGuy123, Jul 26, 2015.

  1. Hello Everyone,

    I have been trading for about 3 years and am at a point where I would rather trade through a limited company for tax reasons etc.

    A little background, I was trading at the prop desks of one of the big guy most of my life and retired but miss the buzz. Never had to deal with the compliance department directly, always pawned that off to someone else. After 09 they just became a proper pain.

    I am would like to know whether a limited company trading with its own funds is required to be regulated by the fca. As I see it, as the company is a legal entity trading with its own funds it is analogous to a human trading with their own funds. Therefore as far as I can see I do not require regulation.

    Before I hand out huge sums of money to advisers could anyone here with a similar trading structure or experience in dealing with FCA compliance give their opinion.

     
  2. tommo

    tommo

    Depends where you are located. In the UK at least most prop traders have their own limited companies that they pay their trading profits into and is not a regulated company. Just a standard Ltd company you can set-up online in minutes.

    Issues only arise when you start trading other people's money