i understand BP as i am series 7 licensed. i just wondered since u r using prop firm's money, they get to keep profits on the borrowed portion.= and that was possibly another way they made money. i understand in a retail brokerage acct, if i use margin, i get to keep profits on margin money used. just didn't know about how prop firms margins worked. so its basically same as retail brokerage loaning u money. that's pretty cool. i don't mind trading equities at a prop firm. easier than trading options. i will just use options to hedge when trade goes awry. i won't use options solely to trade. thanks for ur help and sorry for confusin ya. lol
Wait I'm lost, your daytrading the legs of a calendar spread? Is this because of the limited capital or do you actually have a system for going long/short?? If so, why go into a calendar-just as a partial hedge?
don't worry about calendar spread trading threads. i am doing that for right now while waiting to decide on prop firm. while i am at prop firm, i will trade equities while hedgin with options. FORGET THE CALENDAR SPREAD STUFF!!!! LOL!!!
I don t think you will find too many prop place that will let you hedge with options since most shop are focus on intraday positions.
thanks to everybody for their responses to my threads. i really do appreciate it as i understand prop firms better now. i knew about em, just not very familiar with em. again, i appreciate it.
Jesus Christ. Prop firms are leverage vehicles. Nothing more. They make money from commissions generated from your active market participation. No need to overthink it.
if the prop shops took the profiit made on the borrowed money why would you borrow the money? you didn't confuse anybody. you are the only one who is confused. people on this thread have been for some unknown reason extremely gentle with you. you obviously need to learn alot more about about hedging. otherwise your AWRY trades are very like to get whipsawed into bigger losses.