Everybody keeps on talking about prop firms not to go to. For the record could somebody please tell me the difference btwn a good prop firm and a bad prop firm i.e is it bad for beginners but good for experienced traders or vice versa?
I have never worked with new traders or training so I can't help you with that side of things My group focuses on working with experienced, successful traders or groups who prefer to trade their own capital for 100% pass throughs instead of profit sharing. Basically our traders have been around the block a few times, know the business and themselves and are looking for combination of the best rates, BP multiples, a stable platform/company and as few hassles as possible. I would probably guess that most succesful traders would not be looking for a profit split situation because in the long run it would cost them more. Since they are already successful, putting up capital is usually not a concern unless there is a lockup period involved. Also be aware that depending who a firm is a member of, you may be able to get registered as a prop trader without having to take the exams for 7, 55 or 63.