Hi, if a (retail) trader decided to go "Pro" (debatable terminology), and has narrowed his choices down to Echo and WorldCo, what are the opinions on which way to go? Echo is obviously the firm with a much better reputation and higher level of quality -- but they have a capital requirement (usually a minimum of $25k, negotiable down to $10k for lower leverage). WorldCo has a somewhat questionable reputation, and apparently lower level of quality -- but they let someone start trading without putting up any capital. It is the capital requirement part that is the primary decision point at the beginning stage for this writer. A possible idea is to start at WorldCo, learn proprietary trading, and, after fullfilling all contractual obligations, move over to Echo (and putting up one's own capital). Any feedback, opinions, or traders' personal experiences?
So how much is "reputation" worth to you? It should be worth about 100% of the money you have to contribute as a "capital contribution," because statistically speaking (perhaps you are the exception), you will in all likelihood blow through all or most of your money in commissions alone. And will other prop firms stick with you after you lose all of your own money? It is at least a good question to ask them. If you put up money, you have to be prepared to lose it all. If you put up no money, you risk little more than your time. In my few months with Worldco, which ended very recently (I am leaving to do other stuff ), I came out of it respecting them very highly. They are in it to make money - I made them a little in commissions myself - but they have a sound business model and will remain sound for a long time. All of my experiences with the main office were positive. Tech support was excellent. They just log onto your computer remotely and fix whatever is wrong. A lot depends upon your local branch. I was in Tampa. I have never been to another wldc office. Maybe there are sleazy people at other branches, I can't say. The 6 traders at my small branch office are all great people. 2 of them have made consistent money for three years and counting. If one is in Tampa, I recommend that Worldco office very highly. For everyone else, I would say to not believe all the condemnations of Worldco, and at least look at what they offer. Not having to put up money to trade is a big deal, imho. oh.... and I never ended up getting paid. What I made, I lost back, so I now qualify as a jaded ex-Worldco losing trader, which I feel lends more credibility to my recommendation of them.
thanks for that post thug, sorry to hear you aren't trading anymore, but its a tough market and you can always go back in a year or two when times are better.
I was at WorldCo for 3 months, then switched to Lynx Capital - Andover (both in NY). At Lynx there is a min capital requirement of $5k. Capital is only one consideration for me; the primary consideration is training. At WorldCo the training was minimal (even tho they place you in groups, it's really hit or miss). At Lynx the training is excellent (I learned more in one day at Lynx than the 3 months at WorldCo). Consider that at WorldCo it will probably take 6-9 months to become consistently net profitable (many never do), at which point you will probably have a $5-15k loss to make-up (or worse). With proper training this can be considerably reduced. When making any career move, training is always a key consideration. --Ron
It exceeds all my expectations... - the two owners are terrific; very supportive and accessible - the software (Hammer) is very fast and easy to use; plus we have NX capability on a trader level (not firmwide level like WorldCo for Belzberg users only) - the training is one-on-one and very thorough; the tape reading techniques are well proven. If your dissatisfied with a trainer, you can select from any of the others. - the bullet cost, commissions, and payout are much better than WorldCo. There's alway room for improvement; I'm just hard pressed to find any. --Ron
Ron, thanks for your note. You wrote "...Lynx Capital - Andover (both in NY)". Are Lynx and Andover two different firms, or one and the same (Lynx is not listed in the BROKERS section)? Thanks in advance for clarifying.
Hammer software looks exactly like Blackwood's old software. Is it? Any do you know what Lynx Capital's web address is? Thanks...
Re Lynx Capital They are currently working on a website. They are an LLC of Andover and clear through them. Hammer is Andover's own Proprietary software. Robert Tharp
I guess I should have included ANDOVER in this thread, as they are also a firm I would consider. Therefore, the title should read: "Starting at Echo vs. Andover vs. WorldCo" Any thoughts on Andover? And what is the difference between Lynx and Andover (if any)?