Question about offer

Hello, I recently spoke with someone at Wasserman Capital about being a prop trader. Here was their offer:

$10,000 required capital, leveraged to $100,000

commission = 1 cent per share

keep 100% of profits


Are these terms favorable for a new trader wanting to break into trading ? Required capital seemed higher than most..

Is this a good place to start trading ??

Any input would be appreciated

 

Commission is very high. Get half cent, it will be a good deal then if you're a newbie.

 

is the commission usually negotiable?

would they consider it if I asked for a lower commission ?

 

Did you speak to Terry or Adam?

.01 is WAY to high, couple this with only 100k in BP...I would say no. JMO.

 

do you get training + mentorship.

how good is your mentor.

these are the things to consider - not commission.

think about it. a Yugo and a Mercedes are both cars.
And they both get you from point A to point B.

But yugo may not get there.
and in the benz you will be comfy.

not just $ and c matter. Other stuff is prob more important.

You're not buying a digital camera on ebay and looking for the best deal with cheapest shipping.

 

esq, yea i see what you are saying and yea they do provide training and mentorship, but there seems to be no way to find out the quality of the training and mentorship beforehand. i have tried to ask about Wasserman capital here a few times, and noone has ever responded about their experiences trading for them.

 

If they are dodging the subject of mentorship and training then avoid them.

 

I traded for them. Training nonexistent. I do not know of anyone in my group who made money. Everyone I know lost money.

 

To be honest w/ you... After you add ecn costs sec costs nscc costs etc... you are looking at .013 / share. I would BET that if you take the whole WHO DO THIS FOR A LIVING AND ARE PROFITABLE they all their edge amounts to is pretty darn close to just that.

If you can't find anything on the training... I'd avoid them like the plague

 

park53:

Here are TWO main questions for you to consider as a new trader:

What is my trading plan? (Example: type of stocks you will trade, the share size, daily drawdown limit, maximum buying power you will put in per trade, time of day you will trade, etc).

How will I define and minimize my RISK per trade so that I do not "blow up" the account and lose my capital?

There are various firms with different pricing models. Here is a list that has been posted on numerous threads, which also includes some questions to review before joining a firm:

http://www.tradersnarrative.com/list-of-proprietary-trading-firms-735.html

Best of luck.