Patak, math and opportunity....

Discussion in 'Prop Firms' started by Jtrader342, Nov 1, 2012.

  1. Maverick74

    Maverick74

    This is generally true among prop firms. Most prop firms tend to favor the guy that makes small consistent profits over the big shooter. This is why many firms focus on HFT strategies and market making. You earn small consistent profits over and over again. I think the big shooter is probably better off trading his own capital. There is nothing worse then having the risk manager cut you off right before your big move happens. And that almost always inevitably happens. Nobody said that it's fair but that is how most prop firms work.
     
    #111     Nov 12, 2012
  2. That's why one has to avoid a big draw on any of the days, or the odds decrease in passing the combine, since the trader WILL have to "swing for the fences" to come out ahead.
     
    #112     Nov 13, 2012
  3. Pekelo

    Pekelo

    This is the best part. A website like that has existed for 8 years. You don't have to make a fancy website with software, just send candidates over to C2, make them trade for a month, look at their results and decide if they are worthy for backing up.

    No need to reinvent the wheel. :)

    Not to mention at C2 a backer (if he decides to use their site for backing) pays a monthly fee instead of profit share.
     
    #113     Nov 13, 2012
  4. Just getting caught up on threads. I am enjoying this thread. Good questions and convo.

    mp
     
    #114     Nov 13, 2012
  5. What`s your source for this information?

    I`ve read his book and some interviews and I`ve never heard this. In fact, my impression was that his win percentage and winning days was very high.

    Regarding failing the combine, Marty did comment about how today`s markets had changed and become tougher from the time when he was actively day trading.
     
    #115     Nov 13, 2012
  6. Pekelo- Consistent trading is the key. We are looking for this with the trading days greater than % (among other things).

    mp
     
    #116     Nov 13, 2012
  7. Maverick74

    Maverick74

    Michael, have you guys put more thought into a "timeless" combine? Where instead of doing a 10 or 20 day combine you have to hit a higher p&l threshold whether it takes one week or 20 weeks while maintaining the proper metrics.

    Or as another poster suggested, being able to trade all the days in a given combine. So for a 20 day combine where you have 60 days to complete it, one could trade a minimum of 20 but possibly all 60 days?
     
    #117     Nov 13, 2012
  8. Jeremy- You are correct. We are trying to do both as well as develop those that are not there yet on where they want to be in their trading.

    We have many traders that submit their own custom Combine Objective. Basically telling us what type of metrics we should watch that work with their trading plan or style. This is something we strongly encourage if a traders recognizes that our standard evaluation or scouting criteria does not fit with them.

    mp
     
    #118     Nov 13, 2012
  9. Maverick- We have this already but do not have it on the site or advertise this publicly. We work with certain recruits that show a lot of promise or that are very close to getting over certain humps in what we call a LIVE Combine preparation.

    Our LC Prep structure is similar to what you talk about. The recruits has a profit target (and some other criteria) and they can use however much time they need to get there but we don't look at the account until AFTER a minimum of x days are traded. This allows that recruits to continue showing they have control etc if after the first day they reach the profit target.

    I am explaining this in a very stripped down fashion but we have been able to work with some great talent in this program.

    mp
     
    #119     Nov 13, 2012
  10. Maverick74

    Maverick74

    How would a recruit sign up for this "LC Prep structure"? Do they have to request it?
     
    #120     Nov 13, 2012