What event is it that actually must happen before you are considered "pro"? Submitting application paperwork to pro firm? Pro firm sending your stuff to exchange? Passing Series 7 exam? Other? I'd like to know when I should stop checking the "I am not a professional trader" box on applications. (Looking to avoid getting the cell between Kozlowski and Martha.)
If you work for any firm that engages in any type of service (i.e. trading, research, mutual fund, investment banking, etc...) you would be considered a professional. But who wants to be a professional, it only means your fee's are higher, I know. You're right though, you don't want to get into trouble.
"Pro" fession pro·fes·sion Pronunciation Key (pr-fshn) n. An occupation or career: âOne of the highest compliments a child can pay a parent is to choose his or her professionâ (Joan Nathan). An occupation, such as law, medicine, or engineering, that requires considerable training and specialized study. The body of qualified persons in an occupation or field: members of the teaching profession.
I think if you have an active securities license and you are employed by an investment related firm you are a pro. The prop firm people are sort of a gray area, since in some ways they are pros and in some ways they are just trading for themselves.
Hmmm, maybe. I was looking for a legal answer to the question. Most of the replies have been philosophical or from Webster's.