Return on Investment on prop firms

Discussion in 'Prop Firms' started by levalencia, Mar 24, 2013.

  1. Hello

    I have asked someone if with 5K, I could get to 25K in 6 months, and he said that is a 400% percent return, which I completely understand. He said best hedge funds will do about 30% per year at most.

    Here comes my question.
    On day trading, with prop firms, you have access to bigger capital. For example on TM Global Capital you get 10:1, so if your investment is 5K as in the previous sentence, you have literally 50K to trade with during the day.

    Now, lets suppose that you are a good trader, and day after day, you make only 250dollars of 50.000 traded during the day. After 20 working days, 20x250 - thats 5,000 dollars in one month, or 100% of your initial investment.

    I have seen day traders do between 400 to 1,4000 per day ( I have seen this on www.bullsonwallstreet.com), and I think they use the same account size, 50k.

    I wonder why experienced traders say on the internet, that 400% its impossible, maybe they dont know about the exciting world of prop firms and prop trading?

    Are there hidden facts on prop trading and prop firms that I maybe dont know and I am thinking this is unrealistic?

    I am asking this because my plans are to make 250 dollars per day using day trading, but with a prop firm, without a prop firm I really believe its impossible as the other guy said.

    What do you think?