say you have a winning strategy that holds for 3 to 4 hours. Situation A: You join a prop firm that is an actual broker dealer. Situation B: You join a prop firm that is a sub LLC of a broker dealer. Would the people who are in charge of monitoring your trades or anyone who has access to your trades be able and see that you're making some money say hey I'm going to jump on board and piggy back this guy. 1) Could this be a bad thing? 2) Is this less likely to happen in situation A? The reason I might think that is because they are under stricter guidelines because they are a broker dealer, while the sub LLC guy, just has a retail account. Opinions?
if its a thinly traded stock and the guy whats to be a prick he can short a few thousand shares and bust you out of the trade.
this type of thing happens all the time. Just ask MNX about his millenium trading strategy at Swifttrade that went from a gold mine to nothin because other branches and traders watched his positions while he traded. Just a couple months ago it was found out that the swifttrade office saskatoon was hacking into swifttrades main computer data feeds to watch a mimic other successful swifttrade traders around the world. ......and even though swifttrade's head office knows about it they didnt do anything about it and the owner of that branch and all his traders are still trading and probably still stealing other peoples trading strategies and secrets. And swifttrade is just one of the firms out there...im sure it happens at all of them to some degree