are you saying that having a series 7 makes no differerence when trading with a prop or LLC? the question is whether the LLC or prop is registered with the exchange in order to give better than 4-1 leverage?
That is correct. The series 7 is a moot point. If you are a registered member of an exchange as is the firm you work for, the member firm can extend leverage to it's members that are also registered. If the exchange you are a member of is the CBOE, you are not required to have a series 7. The series 7 has nothing to do with leverage. Absolutely nothing.
if a firm is registered but their customer is not,how does a customer become a member? if you belong to an LLC that is registered,does the trader have to be registered?
Yes, a trader has to be an exchange member. There is a lot of gray area though in how this works and ways guys get around it. It's very easy to become an exchange member btw.
yes.....the CBOE would give you approval on your application through the B/D that you are looking to trade with with a membership through another exchange? Why? Because you are not retail chump whom is going to take this leverage and blow out within a few weeks........well you can but you are than treated as a institutional/ accredited traders and can not than claim" I did not understand what I was getting into with this structure".