Hey, fellow traders. I myself have been prop. trading for several years in the NYC area. As any trader knows the "cost" of doing business is very important to one's success. So I was wondering what kind of deals are out there currently, meaning how much per/share, bullet cost, desk fee, payout, etc... I'm thinking of starting my own LLC trading firm and want an idea of what a "competitive" rate/deal is.
It depends on who and what you're dealing with. If you're dealing with firm from yester-year who still bends over to SLK or FOC or Penson or INCA or whomever for "clearing cost,â then your options are rather limited. Because as is obvious you have an extra middle-man hand in there trying to grab some fraction of a penny. Keep looking, you'll find your niche. However, it has been my experience that itâs tougher in the East as compared to the West. I've worked on both coast's, the difference is like night and day. I remember when Shoney came out West, they had this attitude like they farting through silk. I took my guys over there to listen to their pitch. We politely listened to all of their big talk and all of their parochial bullshit.... and then we laughed at them and walked out. I hear now that they're reorganizing. Whaddya know! That being said, you will find that generally speaking it is not the firm that you should be concerned about... Regards, Dr. Zhivodka
Wow! You have been registered since Jul 99, and this is your first post? I would think that if one had been a prop. trader for a few years, that person would have a good idea of what is competitive (pricing/payout wise).
Akim, Why don't you search for recent posts on this topic. That's what I did. I thought about writing a post like you but figured it wasn't right to waste other people's time if my questions had already been answered on ET several times before. To me, these kinds of posts sound like setups so the poster (or their cronies) can answer their own question with a plug about their firm.
Sorry if I made it unclear. Obviously, I have an "idea" of the deals that are on the street due to the numerous contacts I have. But my purpose of this thread is to get a survey of rates and deals that are out there right now, via this internet-thread that can reach thousands of traders (that I would never know or meet) throughout the country, not just the NYC area. For example the firm I am with right now is giving me a great deal which is <p> 10,000 down/0.8 cents a share/$25 bullets/90% payout OR 5,000 down/1 cent a share/$25 bullets/90% payout <p> no desk fee, bullet=1000shares <p> *software I will talk about in a different thread <p> so lets hear what you guys are getting