We are not providing a service where 98% of the candidates fail. Once these candidates get funded according to the CME they become professional traders, and it is of absolutely of no interest for the prop firm to see them fail. The prop firm provides real funds to the traders and when the traders lose the money they lose the prop firms money.
I will also suggest that if there is any funding in the "prop firm" it is the bare-minimum swept into the account to cover intraday haircut on running positions. No way that they are legitimately funding a figure in a segregated account for each trader... bc then the prop-model would not be necessary.
"Professional traders"? By what distinction? Do they have to pass membership vetting? Otherwise "professional traders" is an IRS distinction. You realize that you're not registered nor are you CME members.
There is shared margining from the master account to the sub-accounts. Of course the accounts must remain capitalized to retain the brokerage account.
"..he/she had accomplished something meaningful REGARDLESS if they get funding or not! This defense is getting weird by each post..."if a person passes the tests, he/she had accomplished something meaningful REGARDLESS if they get funding or not!"... sure but one can do that on any sim... same trades, same rules why bother paying somebody... sure for a minority who really gets funded it would be good but what % is that and what about the fees collected by those who don;t pass.. Why do you think real props firms don;t do this BS
I was saying simply that the CME recognizes the trader as a professional trader, for that reason the trader must pay professional trading fees. These are charged as pass through by the brokerage to the prop firm.
That's not what I stated. Your website, from what I can recall, puts a figure on the FCM account. IOW it offers the trader a "$25,000" or "$50,000" account. If those funds are not segregated that it's a lie. Period. Legit prop firms do not put a figure on the trader's access to capital. You are doing so in an effort to make it appear segregated.
@destriero no exchange seat either which I’ve never heard of for a prop firm, commissions and fees are “$2.22 a side”. Exchange seat aside if they were actually doing some decent volume the commissions would not be that high. Actually for the e minis and doing the least volume possible most FCMs are under 2 dollars a side all in.
Good point by the way the so called 25,000/ 50,000 is real money or just notional? With day trading margin for ES at some iB @1000 I can fund a trader for 1 ES contract and claim I have given access to $150,000 ! LOL