Glad to help...you might consider moving to the "financial center of the Universe" (no, not NYC, ....Las Vegas, of course).... then we can consider the low capital entry. Don
you haven't done DayTrading, especially not in the way that these "chop shops" practice that inarcane insanity... you traded more than once within one trading day, but you haven't done daytrading....
What I meant was that I have background in the market, so therefore I would not be starting from the ground, up. I certainly realize that I would need to learn the technique. Afterall, you started somewhere didn't you?
The only place I trade is with Redwood Trading- office is at cypress creek and 95. I have traded successfully for over 6 years and 3 different firms. John Mcclain is the manager and is the ONLY trader/manager that has consistently made money, and taught other traders too. He has the data to back it up, and I have trained with him personally for 2 years. The firms rates are very comparable- they started me at .009, currently at .008-- and you get the picture- this is whether I "take" or "create"- the firm does NOT nickel and dime its traders like every other experience i have witnessed. Also, fills are quick (i trade mainly OTC)- but NYSE fills often with price improvement. None of this stuff matters unless you know how to trade- so find somebody that you can learn from. As far as the 5k-- kinda low, not sure how that would work- but worth a call to make a new contact. Firm is in N Fort Lauderdale.
You might look into the Generic/Carlin office in Boca Raton, I think that Barkley trading has an office in Boca Raton also (they do not have a website, but do have ads on monsterboard PM me if you want their e-mail address) also Redwood has an office in Fort Lauderdale. I know that Barkley trading will allow you to trade with $2500 to $5000 deposit. Also there is a firm called United Capital Managment in Boca that will work with you for around the same amounts. You also have the option of remote trading if you are not reasonably near an office, of course being new to trading it is obviously an advantage to get in a good office if you can. I am sure the Bright trading is a good firm, but I also understand that coming up with $15K is hard for a lot of people, especially if they are new to trading. Even if they have that amount, a lot of people may want to save some of that money to help cover living expenses while they "learn to trade". That makes me curious Don why do you require such a "large" deposit, especially for new traders who really should be trading small share sizes and learning to greatly limit their risk at the beginning of their career. Usually newbies will not have 25 orders out in the market on the open, or be doing MOC orders. Since newbies will or should be learning very conservative strategies, wouldn't putting up say $5000, protect your firm from risk (as once they lost this amount you could obviously cut them off) but at the same time open up Bright Trading to more interested potential traders? 10x leverage is good enough to start with then as they prove they can make money off doing 200 and 400 share lots in maybe 2 or 3 positions, consistently over a sustained period of time you can slowly give them more leverage or require them to deposit more capital to take on larger prositions. I am just curious to hear your thoughs on this. Thank you.
I agree 100% with your capital deposit model. It really is just a deposit against draw down and if the firm behind the training and program has any real edge they should move to a P/L Model and supplement the trader with BP once he graduated from the program. Minor League vs Major League Model. This business has become very cut throat and commission are a commodity. The firms that offer value added tools, proven trading systems and a network of traders to bounce off ideas, should be the proper model. I have traded with both Bright and Worldco and understand how hard it is to change a large organization. There are a few proactive firms that allow the equity trader to grow with different trading products and build the tool bag. Alternative trading products (option, futures and currency) will be a great addition to any trading plan when implemented correctly. The "One Trick" trading plan died with the bubble. Something is always moving, it does not only have to be trading on NYSE or OTC. This natural progression and learning curve has taken the best traders from equities to options and futures and soon currency. It is hard work and the "lazy trader" should stick to day trading. The professional traders will continue to grow the tool bag and look at International markets, like Eurex and Liffe and soon access to Asia. There are firms out that offer this, they just do not use the "Rotating Door Model" ........They invest time and energy into each trader and build a firm based on P/L ...not commission. It just takes way to long to turn a Oil Tanker around....Sorry Don B, you need a few more miles of sea to stop your tanker. I believe in Quality, not Quantity. I welcome all comments.
Sorry back at ya, Jeff...but your comments are completely wrong and laughable (not you, just your comments). My brother and I can change direction in seconds....we allow options, futures, and all sorts of trading. We tailor pricing immediately to fit a traders needs and desires. We don't have to answer to anyone, don't need a "backer" or to get involved in Interest charging schemes to attract traders.....there are many traders who will never make money trading, and may choose to become of mouthpiece for another firm, which is fine by me....but please don't go down the road of making irresponsible remarks about something you know little or nothing about. Until you sit in on one of our management meetings, please keep your comments limited to your own firm. It took just a few minutes to determine where the money is being made, through the monthly interest fee to your backers. I'm not telling anyone anything new, since this is in your documentation. I'm not even saying that his is a bad practice, just another way of trying to stay afloat...and that model may well suit some wannabe traders. If you want the "casino" type operation where you push any game that you make money on, even to the traders demise, that is your business. We focus on what we know to be a more likely success, equities trading. We, of course, offer options and futures....but most give up after a few weeks of testing the waters. Let's keep it civil, respect each other's business model, and feel bad for the traders from WorldCo, not relish in their demise. Yes, when we are one of the biggest firms, we are likely to have a few disgruntled traders from time to time. You asked for comments, you got some... Peace! Don
Let me get this straight. What you said a few posts ago, that you are following the clearing firm model, are you saying that all you are is a glorified clearing firm for day traders? Are you guys just doing Goldman's dirty work by catering to the small day trader they never would? If you are not just a clearing firm offering various products to your traders including leverage under the guise of net capital why do you pay 100%? Seems to me that you are trapped in the world of hurt these day traders have created. Your firm is forced to payout 100%, to lower commissions to a level that has made some firms close shop and the traders more or less still are making money. It doesn't seem worth the regulatory risk as well as the financial risk you and your brother take to make whatever it is you make. Maybe the Braun's did the right thing by getting out. Their issue is the method of exit.
I hope you don't actually respect their exit strategy (some traders might not like that method)...lol.......but at the same time, please don't think that anyone "forced" us to payout 100%)... We simply adapted our business model as the market dictated. And, don't worry, we and our traders are doing fine, thank you. If you re-read, I said that we DO follow the Clearinig Firm model. Providing capital usage, clearing, execution, etc., with one added benefit...our traders don't have to buy an exchange membership nor do they have to qualify with a Clearing Firm (or get a B/D). I don't thing "glorified clearing firm" is an accurate description. I think that 'Professional Trading Firm" is just fine, thank you. Whenever a trader wants to invest millions in seat memberships, bank qualifications, regulatory issues, etc. .... I say "go for it." Heck, it seems that everybody and his brother has, at one time or another, decided to try their luck at being an "Introdcuing Broker" for another firm (ala some of the Firms "pass in the night.")....heck, what would call them ..?? "Glorified Multi-Level Marketing Shops" (Oh yeah, I guess they are)..... We have always chosen not to have the "employee type" trader, who ends up holding the bag for amounts far in excess of whatever initial capital contribution we may ask for. If that worked well for the trader And the Firm, we could do it ....as you have seen many times, it is bad for the Firms, and MUCH WORSE for the traders....I have run sample numbers here on the board multiple times. We don't want "employee types" we don't want to raise overhead and costs with a zillion back office types, we simply provide an excellent opportunity for those who are serious traders. I think you understand the whole situation better than you let on, and if you can think of a better way to do business than we have over the decades....please let me know. My brother and I can always "steer the supertanker" (reference JeffGus comment above, LOL) in a different direction. In a day where every nonsense gambit permeates the air...I realize that it's still hard to believe that we work really hard to provide a good and valuable service. And if we were to ever "bail out"....we'd do it with our own money, not the traders, not the investors (since we don't have nor need any)....but we plan on being here for a long, long time. Again, thanks to all for letting me help explain how all this works to the new people. Due diligence is the name of the game. All the best....and good luck, New! Don
To ride the coat of your Brother for X amount of years and then spiel out crap is quite amusing. You wanted to hold my Money for 1 year (oh Jeff it is in the Agreement, that is the good capital clause ). You told me to just stick around, even though my wife was pregnant and I needed to pay Hospital Bills. I called your brother the next day and he wired my Money out. He is a stand up guy. You put on a week mandatory training and slide that grand right into your pocket. I wanted to improve my trading and explore other methodologies, I enrolled in a Masters Program to sharpen my skills, improve my money management, bet sizing, and attain the mental psychology that is need to play this great game. I went to your course and wasted a week of trading my own acct. I than went back to one of your offices to sit next to the manager for a month and paid him $2000. That is how I learned, "how not to lose money". I was just starting out and new nothing about a Trading Plan, an edge or methodology. You never even mention such things. Just trade these pairs.(wow, two separate commission per side) Now that is a business model. Trading is a business and I would not get involved with any business without a written plan. How many traders that you train have a written plan???????? Furthermore, have a methodology. Your managers around the country make or break your offices. I was fortunate to have 2 good managers that ran the show. You just told them to get cheaper water, $5 a bottle was to much. I actually try to keep all relationship professional but when someone who changes colors like a chameleon, I must speak up. From your floor days, I have met many traders that took the other side of your trades. They referred to you as "NotSo" Bright. These guys were Bright Traders at that time the story was told. Now, that is respect. Time to step off your brothers coat. I guess we will not be friends after this, but I believe in karma and what comes around........ goes around.