hello all...this was posted earlier from another member and i think it hits the nail on the head for what i have to say.... Hello experts need your help.. I just got offered a propietary trader trainee position with GHCO (Goldenberg), dont know if I should take it, Im new to the industry. Ive seen some pretty negative stuff on these forums about them and their working conditions so Im obviously hesitant. Some positives about the position are - base salary, benefits, supposedly excellent training, and bonuses. Some negatives are - the Golden Handcuffs (4 yr. non-compete contract), vague/ambiguous bonus compensation structure. The percentage of bonuses which go to the trader and then to company is not clearly defined... Anyone have any ideas or advice on this company? Please let me know. Is this a pretty good deal, or is there some things I should really look out for? Thanks
1. is this at the London office? 2. the bonus is "discretionary" but in the past it was usually: basic+bonus = (profit-desk fees-commissions) x 30 or 40% 3. they have the best trader support I've ever seen anywhere 4. the people were always very nice and strangely good looking 5. free booze at the work parties and free breakfast too! 6. commission is very competitive: it was 0.70 for Eurex and cheaper still for CBOT, goes down after 500k roundies, desk fee was always pretty reasonable too 7. the golden handcuffs isn't a big deal unless you're mega profitable and want to go somewhere else. it usually takes 2+ years to know that anyway and you're probably a graduate so you've got the time 8. I think the reason they get dissed hard is because they fired a buncha people at the turn of the millenium. but EVERYBODY was firing at that time. Merrill Lynch fired thousands of people but you don't read any comments about them do you? (apart from that one) 9. they're in the process of "taking disciplinary action which may lead to dismissal" for almost a third of their London office so expect more dissing to come 10. if you're good you can move into their elite STIR group who are in another league 11. it's the only prop firm I know of where people have gone on to work for big name I Banks. or for that matter the only prop shop where people have come from I Banks to work there. I'm doing alright 12. compared to most other prop firms, they are a thousand million billion trillion times more professional, which may explain the affinity with banks 13. I hope this is a more balanced view than the usual GHCO bashathon that goes on here, like everything, they have pros and cons, but the pros are stronger than most other prop firms IMO. just remember, there's no such thing as a flawless job offer in this industry
From what I've heard, they do not allow you to develop your own trading methodology. they force you to trade spreads. I have also heard that they tend to encourage traders tto trade heavily so they can make a killing on commissions. I'd stay away.
thanks for the info mr b... i am leaning on taking the offer in the nyc office. I am just waiting to hear back as to what the commission structure is.
they do encourage you to trade like a maniac. just out of curiosity, HOW ELSE ARE YOU GOING TO LEARN? they want you to trade spreads (so do most places), but everybody does what suits them.
Some negatives are - the Golden Handcuffs (4 yr. non-compete contract), vague/ambiguous bonus compensation structure. The percentage of bonuses which go to the trader and then to company is not clearly defined..." 1)Golden handcuffs mean nothing. 2) The bonus issue is something that frequently comes up on this board when this firm is mentioned. Take that for what its worth. I would say more but they are litigious and this thread will be pulled.
from my experience the best traders are the most aggressive ones and profit is directly correlated to volume.
WOW so volume, not selectivity and timing, is the key to success?? I guess thats why there are so few arcades left.
You must be talking about traders who are looking to gain 1/2 tick per trade (i.e. scalpers). In that case, you may be right about volume....