1-after become a senior trader (which is reaching 1500 $ profit for a 30k account) ,how much realized profit ,a trader need to increase his position size up to ten contracts ? 2-in order to increase position size ,should the trader keep cumulative profits in the account or he still can withdraw them and also have the same position size ?
I thought why should TST get all the free publicity when there are other, possibly better firms in this type of business? Someone else made this list, so I am just sharing it (meaning I haven't checked all of them out): http://www.blue-point-trading.com http://www.sfgtrading.com/remote-trading.php http://www.mgbtrading.com/aboutus.aspx http://www.surcaptrading.com/mt4programme/ http://www.nonkotrading.com/about-nonko/advantages/ http://www.htgcap.com
a good list , the have really a little description on range of markets and loss limit/ profit target ,compared to TST
http://www.surcaptrading.com/mt4programme/ This one looks interesting. They have trade own money to get more funding option. Pure sim option is less bang for a buck than TST. I wonder why TST does not provide similar trade your won capital to get more capital option.
Good questions. Maybe Crispy knows the answer, since he's already funded and working his way to the 80% payout level. According to Sr Trader rules, you cannot go back to a "zero" balance, which means you have to maintain some type of cumulative profits in the account, and that seems reasonable. However, to justify using backed funds and give up the 35% on the first 30k of profits and 20% thereafter, the cumulative profits kept in the account must be LOWER than what you would have to require placing in a retail account as you scale up size, or it would not make sense.
The "application" fee is quite a bit more than TST for the backed account. Also, it says the following, which I found interesting: "Most of our traders reach $500,000 nominal worth of backing within 6 months." Let's examine what "$500,000 nominal" means when trading the ES. To get the nominal number, take $50 and multiply by the value of ES, currently around 1,920. So one lot of ES is around $96,000 "nominal" ($50 x 1,920). Well, if you're starting with 200k nominal and trading 500k nominal within 6 months, then you're trading from 2 lots to 5 lots max. I think with any of these firms, including TST, you really have to read ALL of the rules to get an idea of the true offer. Here's a link (from Sept 2012), that goes over the nominal values of trading futures vs. ETFs: http://www.cmegroup.com/trading/equity-index/files/comparing-e-minis-and-etfs.pdf
If you trade their account then you're not the owner, it's the backer's account. Since they already have non-US funded traders, as long as your country is one of the acceptable countries where their broker is allowed to do business, then I think you're ok.
I already got it. In all cases it all depends upon trader building that cushion. All additional lots come at the expense of that cushion. Because TST is risking so little and further size increases depends upon cushion increases it is possible to reach large trading sizes with very limited original capital. I guess $1500 risk means TST is settling $4500 accounts for $30K guys. I am not an expert in what you wrote, but looks like nominal value is not actual money since actual $500K account would easily support 10 lots.
Under Sr Trader, it says "Once you become a Senior Trader, the further away you get from your initial balance, the greater negotiating powers you will have for increasing Max Position size and Daily Loss Limit, as well as the opportunity to trade other products and/or markets." The phrase "the further away you get from your initial balance" is not clear. I think Commodity Trader was asking for the specific cushion required for trading 10 lots. From the CME's .pdf file, the nominal value of one ES contract is $50 multiplied by the settlement price. Trading one lot of ES is equivalent to trading approximately 500 shares of SPY. The nominal value of trading 500 shares of SPY is $96,000, the same as one ES lot. So $500k of nominal value would not support 10 lots, only 5. Now if they said something like "$500k of EQUITY" then of course that's real money and it would support many more lots.
My understanding also is that any account large or small should be traded with the rule of building cushion first and then increasing size. Even $500K account should be traded with pretty small size say 2 contracts to start with to build cushion and then moving to bigger sizes.