Hi all, From the people I have spoken to, it seems there are (at least?) two different structures for prop firms. Some are broker-dealers, some are LLCs. Can somebody please explain the differences between these two and the implications of each for the trader? Cheers. Nizar.
(Since you asked me by PM to respond to this, here goes). We are an LLC and a Broker dealer. I think you're referring to "sub-llc's" where that smaller group is not a broker dealer but siimply a group within the Broker Dealer. In the past there has been all sorts of "sub-llc's" - some ok, some not. Now, perhaps you're referring to a non BD "llc" that is not an exchange member or has any Regulatory authority behind it. That's a whole different situation. You might clarify by PM, and I can go into more detail. Don