Discussion in 'Prop Firms' started by zenith, Mar 23, 2006.
How much overnight leverage Prop Firms provide usually? What kind of leverage Bright has?
Depends on the firm.
Ok, I guess I can ask this way:
Any Prop Firm offer 3:1 or more overnight leverage?
3 to 1? Why not use a retail account?
Because he wants OVERNIGHT leverage. Understandably so!
I just question why it is so important to go from 2 to 1 to 3 to 1? Not sure it is worth the risk in dealing with a prop firm.
What is the risk dealing with a prop firm?
Yeah, I need to ask as well. Will that really make much of a difference to you getting 3-1 leverage vs 2-1? Can you explain your logic?
Many of our traders "use" (not "abuse") a $mllion or more with $25K in their accounts. We monitor risk, not capital usage (we're in the fortunate position of not having to use our traders money for capital requirements).
Our pairs traders couldn't survive, much less thrive with only 10:1 or something.
We also have a "beta test" for non-licensed traders with $10K minimum who can get 10 or 15:1 capital usage. We're testing with 25 traders (40 on applicant list so far, but I'm trying to give some preference to ET'ers). Same safety and security of Bright Trading, of course.
If interested, PM me or email to: firstname.lastname@example.org, and I'll put you on the list. I really don't want to get into a big thread discussion at this point in time. Thanks...
I think you need to be more clear or perhaps the original poster needs to be more clear on his question. I believe the poster is referring to position leverage. Not pair trading. If he was long 1000 shares of GOOG outright, how much of that could he hold overnight? You are throwing out numbers but those numbers deal specifically with one strategy. It's misleading to think I could join Bright tomorrow and buy 5 million dollars worth of AAPL stock with 10k in my account. You are not saying this correct?
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