I graduated college two years and took the path of going into traditional "business." I have been very successfully and feel that it is time to change paths. My question is how much room for negotiation does a newb in trading have with a prop shop. Do firms try do low ball you when they make you an offer or are most companies willing to negotiate a deal with you. Can someone explain the best way to negotiate a better deal when coming into the industry new. Thanks
Most prop shops aren't going to be to negotiable with you since you have no record of profitability or nonprofitability. Checking each shop's deal (desk fee, draw, split, AND length), is the best way to get started and then weigh your flexability and responsibilities (fiscal and family) to determine what is your top priority for going to a prop shop. If you are fiscally sound, you might be willing to take no draw in return for a higher % of profits OR a shorter term length on a contract. GOOD LUCK.
If you're not putting up your own money you don't have a leg to stand on. If you've never traded why would the guys taking a risk on you negotiate? There's no way they can tell if you'll be a success and due to the massive numbers of applicants, if you start getting penickity they'll take the next man.
If you are successful already then why not trade on the side and become even more successful in your day job to fund your trading. It sounds like you are either bored of your current job (bad reason to trade; try Vegas first for excitement) or you are not that successful and have heard that some prop guys make boat-loads so fancy having a stab. If you really wanted to trade then why didn't you try to go for trading straight after graduation? To answer your question, there is no way in hell that anyone will negotiate with you, as you offer nothing that they can't get from any other number of graduates. Why would they consider giving you anything extra, they have already set the business model and if you don't like it they will tell you to find another deal. Just remember the saying "Beggars can't be chosers". Good luck in your search anyway.
No traders = no commission for the prop house You have more pull then you think bro, especially with current market conditions prop deals with no salary's are not getting there doors knocked down.