Carlin question

Discussion in 'Prop Firms' started by phelpstrader, Dec 5, 2005.

  1. I am in the process of registering with Carlin and I am having second thoughts.

    This is a deal that another guy in my office just signed. I think he is crazy. 25K capital contribution 350K intraday BP 250K. 90% payout and 100% loss. .0075 all in rate plus sec fees. What a bunch of crap. Why would Carlin offer that deal and why would anyone sign with that?
  2. I don't know...who could possibly trade with such severe BP restrictions?

    (Looks almost like a "loaded" question, but I didn't "plant" it) LOL

  3. I wish it was a loaded question, I am looking at the paperwork, as my office manager sits next to me, he is out of town, and I am snooping through his stuff. On top of that, this guy is trading remote. I have no idea what volume he trades.
  4. leverage is a double-edged sword and you pay for it in many ways.
  5. I totally agree with you. Capital usage does allow participation in more "capital intensive" strategies (Opening Only, Pairs, M&A, portfolio management, etc.)...but traders, new traders especially, often times mis-use capital to their own detriment. Good traders, who have good trading plans, know ahead of time how much capital they feel comfortable with, expected earnings, and, yes, even the "cost of carry" that goes along with it.

    Good point!!

  6. I believe Carlin has a retail side where margin is 4:1 or so and then they have the prop shop side with much higher....

  7. I think it’s a good deal if you get 250K in overnight buying power. If you only trade 25k shares a month the commission is not that bad of a deal. You only have to make sure that you do it with a very safe company. I do think you should be able to have more intra day bp though.