The main reason why doing business with these get-funded programs is a bad idea...

Discussion in 'Prop Firms' started by Laissez Faire, Jul 20, 2021.

  1. danielc1


    That approach would run any prop firm in to the ground rather sooner then later.

    I left TST because of a rule with my current association that I can not have a personal trading account outside our environment.
    #121     Aug 10, 2021
  2. Pekelo


    Hehe, so basically you are saying they don't have consistently profitable swing traders with low DD? That is the only reason it wouldn't work.
    #122     Aug 10, 2021
  3. I never suggested it was. In fact, I think I said somewhere in this thread that if they were upfront, it would go a long way. Nonetheless, I can take your money at, or at one of these shops. What's the difference? At the end of the day, you have a losing trade and I have a winning one. The money goes form your account to mine.

    I understand what you are saying 100 percent, but as long as they pay - there is no major difference.

    Besides, this will be like the old days of 1:400 leverage in the USA - it will disappear, and then it will be onto the next game. (Man I really liked GFT.....)
    #123     Aug 10, 2021
  4. danielc1


    What about not knowing what you are doing when you are following the signals of a non disclosed strategy? That is basically piggyback riding.. let's say you follow a couple of traders and trade like they do. How would you positionsize your risks with more leverage if you do not know the exit points before hand? That is a disaster waiting to happen. Especially with zero understanding why the trade is put on in the first place.
    #124     Aug 10, 2021
  5. Pekelo


    These firms teach how to slowly leverage up, as your profits grow. They should do just the same with the piggyback leverage, it is not exactly rocket science. You don't start out with 1:50.

    I am not here to teach them how to use their tra.. I mean signal givers. Consistent trader? First start with a 1:2 or 1:4 leverage and when profit is built, slowly increase it.

    If you are not familiar with the Collective2 website, subscribers can and do the same there with certain systems. Of course not all traders/system are good for piggybacking but now I am going to start to charge for further advice....

    Think about it this way: Even if they leverage a guy's trades only by 1:4, because of the 50-50% profitshare, they increased their profit from that guy by 800%.

    If they are not doing it already, they are in the wrong business. :)
    Last edited: Aug 10, 2021
    #125     Aug 10, 2021
  6. danielc1


    Consistent profitability is more than just an entry and an exit. The biggest part of a winning strategy is the management of your trading capital, how you do you position sizing according to the volatility of a market, and how deep your pockets are, and so on. The maximum heat on any given day should be a big factor in your day-to-day operations. So, if you have X capital and you are just relying on the next entry signal from a black box, without knowing when the exit signal will arrive, how are you going to calculate the risk you are going to take according to the other positions you are in? Also, past results of a retail trader are very volatile to put it lightly. They can have a great run for a couple of months or even years and then suddenly start there not so great period. If you would leverage on that, it is just a matter of time before you blow up.

    Besides that, trading is not that hard to figure out. Your example of swing trading with low dd is not too hard to make. Anyone can do that and systemize it. At least then they would understand how it works and if they leverage it, they can calculate the risk accordingly.
    #126     Aug 11, 2021
  7. I can assure you that they aren't following traders. If they are - its in very small accounts to make it 'legal.' There is nothing that I have seen in dealing with them as a contractor that remotely suggests there is real money. In fact, many have privately admitted there is no real 'fund.'
    #127     Aug 13, 2021
  8. So that "Is Funding Talent a SCAM" thread went missing finally. Its almost like I could predict the future.
    Last edited: Aug 14, 2021
    #128     Aug 14, 2021
  9. %%
    CONGRATS, you did it mostly right.
    But admitting= '' you broke the rule.'' No wonder they fired you, one thing worse than me losing my own capital is some else doing it, without my permission. Get that ??
    Sounds like you may make it anyway, L Faire, you were honest enough to admit ''2 strikes + you're out. MY banker dad seldom\ if ever told me something twice........ But he did ask ''did we have a meeting of the minds??''
    #129     Aug 26, 2021
    Laissez Faire likes this.
  10. Overnight


    If they would just allow overnight holds, they would make more monies. If they want to know why or how, they will have to pay me some money to teach them why. Because none of the buggahs running these firms is over 40 YO. Dumbasses
    #130     Aug 27, 2021
    murray t turtle likes this.