Then they can back them up with brokerage statements !!! And if they can't, why NOT ??? If you had a method that did 100%, would you sell it? And if you did, wouldn't you be proud enough to show your brokerage statements? They will say it is Hypothetical results, but if you had this method or software, wouldn't you be screaming out with brokerage statements?
As had been pointed out to you - ask for records of the instructor's results. Don't accept anything less than a clear response of "here they are". Would you take piano lessons from someone who can't play the piano? Spanish lessons from someone who can't speak Spanish? Flying lessons from someone who can't fly? No? But you'll jump the chance to blow your money with someone who can't prove the ability to trade?
paying for education in this market is a crapshoot at best. You're far better off joining a firm which does not require any type of fee for training. There are many out there (you will probably need to provide a p&l statement or put up a deposit). The legit firms will not charge for training or education. They typically educate for free and hire traders from within. Some even offer 1:1 coaching (Capital Traders Group, CY Group, Etc.) This is the best scenario because as long as your $$ is a deposit and not a "training fee" or a course fee, you can pull it out at anytime with no problem if you are unhappy. I second everyone else who says PnL statements are very important. Make sure the trader is taking his/her own calls and that they have a profitable track record. The problem with education is that most places selling education need to do so because they lack revenue that comes in from profitable trading. The firms that won't charge for training have a better chance of servicing your needs.
WOW... thanks for that info. Btw, what are the minimum deposit that is required for trading and how does Capital Traders Group, et al make money by having newbies sign up? Also, can there be a legitimate reason an instructor won't provide their trading statements for the previous year? Can't there still be a 'trade secret'? What I'm thinking is that an instructor may have found a niche trading a particular stock and they may not want to disclose this stock to me, but will claim to teach me to find my own niche.
Props usually make money off desk fees, profit splits, and commissions. Every firm is different and their strategies are different. I can't speak myself for how any private firm profits. The idea is the more profitable you are, the more you trade and the more you trade, the more revenue gets generated for the firm; whether it be profit splits or volume-generated revenue. Some use the newbies to try to find talented traders without bad trading habits to train to trade their particular style and trade the firms' accounts. Some firms are not really prop firms, you have to pay for education to get into the firm. DO NOT BUY IN TO THESE PROGRAMS. You are ultimately the most deciding factor in your success. Do not just expect to pay someone and you will turn profitable. It takes about a year to return a consistent profit for most profitable traders, and that's the 2 or 3 out of 10 that have a shot at successful trading. The most you can ask from a mentor is to teach you about the basics like chart patterns, trading psychology, ecn routing techniques, etc. They can show you the basics, but it is correct that you need to find your own style. That is true in any business. You will never be successful just shadow trading someone else's style. I can't speak for any firm, but some offer free basic training and then sell more detailed programs. It's really at your discretion whether or not any course will help you. To save you the aggravation, I would say do not choose anyone who is unable to provide you their trading statements. You don't need the headaches. There are legitimate concerns over sending that type of documentation over the internet (very risky to send that type of stuff to strangers so you may need to meet in person.) You should be doing your own research first and opening some practice accounts (WSJ has a nice one) and paper trade. use trusted resources to learn the basics that are online (free and public) so that you can evaluate a course yourself.