Those who keep mashing around about prop vs. retail have never seriously considered, at least their comments don't indicate that they've looked into it seriously. Let's remember, taking and Passing the Series 7 is the first hurdle that bars dozens from entry. After passing that gauntlet, should you survive, you've reached the courtyard where all the entry level positions start. There are thousands there, and thousands more who no longer hold that title. Distinguishing oneself from amongst those throngs is not easy to do. The next hurdle is keeping yourself in one piece both emotionally, mentally, physically and economically. The next hurdle is the education, applied theorim phase, where the text books, training, classes and study congeal into coherent thought that overrides emotion and pulls the trigger and shoots down as many turkeys as one can haul away (i.e. profits). Sometimes you get the poop detail (i.e. losses that have to be cleaned up from the battle field). Hey, its no wonder those standing on the sidelines are jealous of the commitment that becoming and achieving (two seperate things) professional trader status (i.e. profitable) takes out of you. Cheers for having said all that so eloquently.....
Cheers on representing! Good to see you participating in the forums. Gene W does, and others do, and as owner of your excellent firm, good to see you keeping up appearances...
I really feel that the implementation of the Series 7 requirement has been very beneficial to us as a Firm, and to the industry as a whole. At first we were concerned (even though we helped push the mandate through) about losing a number of traders (we did lose a few, but a very small number). As it turns out, this very minor "obstacle" has helped us in the screening process, and we have a much higher retention rate than before. We only want serious traders anyway, and taking the test is no big deal (I have said before: "every retail broker has passed the test, so how tough can it be?..as we know, they aren't always the shiniest apple in the proverbial tree"). Studying a couple of weeks to be able to participate in this industry is a very small hurdle IMHO. (And, yes, even though I have been an exchange member since 1979, I too had to take the stupid thing). Anyway, don't let the small stuff deter you.
Many of the so called "prop firms" are merely Introducing Brokers (which means there is very little capital involved, and not much to the management arrangement). Just be sure that the principals are not just IB's for someone else. A funny story (to me anyway)...there was a firm in Las Vegas (there have been many who have come and gone in the same area)..who had a website advertising $19.95 trades...and at the bottom ot the website they had a link to another firm in Texas (their main broker)...I clicked on that and the site came up and said " 14.95 trades"...so I called Texas and asked if it would not be better for me to simply trade with them? They said, of course it would...and sent me an application. This should not be a "multi-level marketing scam" which so many have tried to turn it into.