Looking for a Prop Firm

Discussion in 'Prop Firms' started by DayTrader10, Jan 10, 2012.

  1. I have narrowed down my selection to a few choices. Please let me know your experiences with those choices and who you recommend.

    I don't have a series 7 or 56.

    1. CY Trading Group
    2. Broadstreet Trading
    3. CTG Trading (they make you get a 56 though)
    4. Lakestreet Trading

    I have researched a bunch of firms, but so far those ones have been responsive and answering all questions that I have for them. JC trading might be possible, but I do not know if I meet their share requirement.
  2. I also got an email from T3 trading. The top three choices are broadstreet, cy trading, and t3. I want 95%-100% payout if I am putting down capital. I have researched the firms extensively. Just want some insight from others.

    Let me know what you think please and who you would recommend.
  3. rmorse

    rmorse ET Sponsor

    IMO, choose a firm based on the people your going to deal with on a day to day basis. It's nice to pay low commission and receive a good payout, but if you deal with people you don't trust, you'll be miserable. If you're miserable, you'll trade poorly and set yourself up for failure. Don't rush into a contract, visit the trading desk a few times and talk to the people there. If you trade remotely, ask for references. Remember, they will only give you the happy references, so if they complain, run.
  4. I am trading remotely by the way.
  5. rmorse

    rmorse ET Sponsor

    IMO that high payout might not last the year. I think CBSX will cave into the demands of the SEC and FINRA. Those high payouts have been a red flag for the SEC, and give the appearance of being a customer account, within the firm, skirting the day trading rules. By this time next year, I think no one will be over 80/20. I guess we'll see how it plays out.

    Choose good people, find a relationship you can trust, not just the lowest mil rate. Good Luck----
  6. Ferris


    If you are able to trade and use "firm" capital theses options are fine. I would caution putting any money with an unregistered firm. Do your homework on this type of setup. If the firm is not a BD it is unregulated and if it is trading U.S. equities and charging a commmision it is skirting the rules. It is just a matter of time until the "Group" type structures are dissolved. When it happens and they get shut down the individuals who deposited capital have nothing to stand on. Avoid any "Group" type arrangements if you are planning on posting your own capital.
  7. rmorse

    rmorse ET Sponsor

    Only a broker dealer can charge or mark up a commission. The prop groups we help set up that are "customer", can't mark up commission, they make their money with a percentage of profits.
  8. Ferris


    Robert I was not referring to whatever type of setup you offer, as the comment was specific to Non-BD's that charge commission. This was a direct comment relating to the firms and or "groups" that do charge commission and are not regulated. If you call up a few of them you will notice that a commission charge is involved.
  9. rmorse

    rmorse ET Sponsor

    Then they can ONLY charge you what they are charged. NO Non-BD can mark up the commission. At least not in the USA or Canada.
  10. Thanks for the reply.

    I am only looking into Registered Broker Dealers. So far Broadstreet is looking pretty appealing and today I received some email from TM Global Capital.

    What are your guys' thoughts on TMG? (They clear with LEK)


    Both Broadstreet and TM have international arms and thus those segments are not bound to SEC FINRA rules. Can anyone confirm this?

    So right now i am looking a Broadstreet, CY, and TMG. Let me know and thanks in advance for all of your help.
    #10     Jan 11, 2012