The people who said anything under 400k and or less than 15 accounts are correct. However, YOU DO HAVE TO TELL THE CFTC!!! I find that last bit hilarious. I would say to trade on your own for a loooong time, say, 2 years and with results, before you take on opm. The problem with opm is that people are ignorant about trading, leverage, losses, wins and taxes along with whats possible. I would avoid the headaches and use my own money and build up a track record. I repeat, people are dumb asses. They will want their money back for beer money, strippers, or to pay a mortgage! This will then WRECK your strategy and fund in its infancy.
"The problem with opm is that people are ignorant about trading, leverage, losses, wins and taxes along with whats possible. " -- quote by wolfab82 I agree with the above comment, that's why hedge funds ( and people who do not wish to register) only accept money from accredited investors. Even then, I recommend series 55.
i hate to digress...buuuut... This reminds me of when I joined a brokerage as a junior broker. I was amazed whenever one of the young black kids or italians from brooklyn would actually CLOSE AN ACCOUNT! As in, a stranger, over the phone, would hand over acct info, CASH over the PHONE to a BROKER after receiving a COLD CALL. AMAZING!!! The reason why cold calling works with some reason is because like the poster above said, only accredited people should be considered. Think about it, some rich guy who has more than 4 million in the bank is more likely to trust a cold call since THEY ALREADY have TRADED IN THE MARKETS or understand whats possible or have been cold called before with POSITIVE results. A broke teacher from Harlem, the Village etc. has no idea about Technical Analysis, explosive returns, breaking points, hi/los, stochastics etc. They are the quickest to hang up the phone in doubt. Investments is a MAGICAL world indeed. If you will trade opm, seriously only consider wealthy mofo's aka Accredited or sometimes called Qualified Investors. Usually there are strict net worth guidelines to define these people. The tricky part is that the lousy bastards at the CFTC make it so that a Futures/Forex guy CANNOT cold call someone for a Commodity Pool or small Hedge Fund. So how the hell am I supposed to find Accredited/Qualified Investors if I cant Cold Call? I suck at golf and missed going to Princeton by 60 lousy SAT points. Any ideas?
0YOU DO NOT NEED A LICENSE.. YOU CAN HAVE UP TO 15 PEOPLE AS FRIENDS AND FAMILY BEFORE YOU GET LICENSED