Prop shop for trading US Treasury options

Discussion in 'Prop Firms' started by Big_Kev, Sep 16, 2016.

  1. Big_Kev

    Big_Kev

    I'm looking for a company that will provide the capital, or give a better payout if I put in some of my own. I have 6 years of experience as a UST options market maker with different firms in the Chicago area and looking to go solo. Any names of companies I can contact would be much appreciated.
     
  2. What kind of infrastructure would you require? Presumably low-latency, since you're MMing.
     
  3. Big_Kev

    Big_Kev

    Low latency isn't a huge deal with the options. I use OptionsCity software and they handle all of the server hosting issues. The only infrastructure I would need would be my workstation/desk, which can easily be rented down at the CBOT.
     
  4. bone

    bone

    Do you need to carry positions, and if so how much capital in terms of initial and maintenance margin would you need ?
     
  5. 2rosy

    2rosy

    How can you trade options, specifically treasuries, without carrying positions?
     
  6. Big_Kev

    Big_Kev

    Yeah with options you do always carry a position. Most nights my margin maintenance is ~50K, but can spike to 150K-200K when a serial month is approaching expiration.
     
  7. bone

    bone

    I ask because as you likely know, how much capital you require dictates what kind of firm is likely to be interested. Probably not a prop firm but more of a private equity kind of firm. What about DRW ?