Looking for a prop firm for U.S. equities

Discussion in 'Prop Firms' started by RaghuRomeo, Dec 31, 2018.

  1. I doubt any reasonably managed broker would offer 20:1 overnight leverage or if there were the dec crash would have bankrupted them. If you have enough money ($100+), a portfolio margin account should be enough
    #21     Jan 17, 2019
  2. Ok. some body tell me what a prop trading firm actually does? Why they take a share of profit and charge commission? People are mixing Brokerage +Hedge fund+prop firm all together. All of these have different business model. They are not the same.
    #22     Jan 18, 2019
  3. Robert Morse

    Robert Morse Sponsor

    Traditional Prop - They use their money, hire you and give you an allaoction. They provide a salary and profit split. They only make money when you make money. They are like a hedge fund but not looking for capital. Your pay is in the form of a 1099 or W2.

    US based Joint Back office (JBO) Prop firm-They must have only $1mm of their own Capital. They make a deal with a clearing firm to join their back offices to provide leverage to traders. Each trader deposits first loss money with a lock up period of 1 year. The firm generally takes a split of profits from 1% to 20%. They only do that because the Regulators make them. They generate their revenues from marking up commissions, interset, desks fees, and charging for training. Your pay is in the form of a K1. Your funds are not protected by SIPC.

    Both are Broker dealers and in the US that means you are a registered person and will be required to take the Series 57.
    Last edited: Jan 20, 2019
    #23     Jan 18, 2019
  4. Now I understand why there are prop firms with such different profit splits, and commission rates.
    #24     Jan 20, 2019
  5. Did you find any providers of LightSpeed or Takion as per your requirements yet?
    #25     Jul 25, 2019
  6. Robert Morse

    Robert Morse Sponsor


    I see you are from India. We can offer customer accounts to residents of your country and offer Lightspeed Trader for accounts starting at $25,000 or more.
    #26     Jul 25, 2019
  7. how about Bright Trading?
    #27     Jul 26, 2019
  8. traderjo


    Where is this firm located? the website seems to be down!
    #28     Jul 28, 2019

  9. This is incorrect. Prop firms will and do give you overnight leverage. Generally, you need to meet account minimums for overnight bp, but 6:1 is pretty normal from people I've talked to. Unfortunately for OP, I don't know of anyone taking non-us citizens.
    #29     Jul 30, 2019
  10. zdreg


    Do you want to deal with a firm that cannot keep its website up?
    #30     Jul 30, 2019