Discussion in 'Prop Firms' started by mm-trader, Apr 26, 2001.
Is anyone familiar with ETG?
Try this thread: http://www.elitetrader.com/vb/showthread.php?threadid=953
There seems to be very little information out there about them. A few people have made comments in the broker review area. They are basically a proprietary firm that will pay you (a very small salary draw) to trade with them, but you have high odds stacked against you. All I've been able to come up with is that you get 40% of your profits, but only after paying for your seat fee (approx $600/month) and commissions (high from what I've heard) and of course any losses accumulated before you become profitable (although you are not held responsible for the losses if you never become profitable...they cut you off at -$500 per day and -$20,000 total). And to top it all off, its very difficult to get in to their program, despite its flaws. There are other firms with better payouts that also have programs like this. Check out the Active Trader magazine cover story from the March 2001 issue.
The salary is now gone from ETG from what I've heard. Benefits have been reduced.
That figures. With the way it is setup, its amazing anyone ever succeeded with them, now it really doesn't make much sense, even for a beginning trader. For someone with no capital it was appealing with the salary, but now its probably best to just keep plugging away and save up your own stake, then when you do trade, the odds are a little better for you. If you have your own money you don't need them, but if you don't, how would you live without the salary? I can't imagine anyone who would benefit from them now.
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