As I said, and I'm sorry if you mis interpreted my response... all tongue in cheek my friend, seriously. Most poster know me pretty well, and "snarky" is not my intent. We often get guys who are really trying to yank our chains.... and I was just playing around as well. The idea of getting some firm or person to pay you enough to live in NYC is really tough. FNYS perhaps, and good people, but they hire so few people each year, almost never going to happen. Perhaps check out Chicago, check Maverick74's post about the subject..... All the best, Don
Thanks for the polite and decent reply, Don. Yes I will thicken my skin. Unless people like SteveNYC post the crap like he posted above yours. He must exist just to hurl insults. Steve, I might be missing a brain, but you my friend have zero class. I was asking a legit question.
you should only consider a 56 or 7 licensed prop firm cbsx registered firms that require the 56 license , most choices firms overseas or not licensed , your rolling the dice on with your money being safe I would say bright but they require 20k & your first born to get in the door Lol.
I suppose I should post this link here.... http://www.elitetrader.com/vb/showthread.php?s=&threadid=244004
When you join a prop firm, you're making a "capital contribution" which becomes firm capital. The prop uses it for net capital requirements at their clearing firm, and give you buying power that far exceeds retail pattern day trader Reg T margin (which is capped at 4 to 1 for customer accounts). This is the main benefit of trading prop vs. retail. If a contract states that your max loss is your net capital, then yes, it's possible that you won't owe any excess loss to the firm. However this is usually an exception, not the norm. Also, firms have risk parameters to ensure that you won't "blow up" your account in one trade, such as having max daily drawdowns. Remember, the first $5,000 of losses are YOURS, not theirs. Props make money through mark ups on your commissions, and profit splits. Usually, 100% payouts are for customer accounts (not prop accounts). I agree with hitnrun, research the CBSX registered firms that require a Series 56 license, or a Series 7 firm.
you have to do your homework & call any firm your considering and actually talk to the person you may do business with get everything in writing from them , talk is cheap as you know You have some shady characters in this business , buyer beware
I've dealt with Broad St. in the past but am under the impression they are no longer taking traders under their CBSX license.
You aren't missing much. The firm makes money off commissions. When you buy 100 shares of IBM for example, you pay a commission. Part of that goes to Broad St and part is to the clearing firm. The SEC has some fees as well as some taxes and other charges by regulatory and government bodies. Most of the industry is structured where you pay the commission for access to the leverage (there is no marginal interest charge since it's firm capital, not margin). I think Broad St. has just changed their business model into strictly a hedge fund if I'm not mistaken (I could be wrong). They're getting out of the CBSX business anyway. I would suggest you try: Bright Trading, Capital Traders Group, Echo Trade, JC Trading Group. These seem to be the more reputable firms that traders speak about on the boards.