Where are most Prop Traders?

Discussion in 'Prop Firms' started by tula, Aug 8, 2003.

  1. You are correct, Redwood does not loan the money to the client to provide the leverage they require. A fully seperate "private capital" source provides this service, many of the firms mentioned here on these boards provide this exact same service through a private capital source. Most regualr readers on ET know how this process works, so I was just quickly responding to the original post. I walk all our clients through this explanation when we speak.

    rttrader -
     
    #41     Sep 2, 2003
  2. Spectrum, the subsidiary of Schonfeld?

    Correct me if I'm wrong, but aren't these the guys the ones who went trigger happy with filing lawsuits to traders for simply wanting to leave and trade someone else?

     
    #42     Sep 2, 2003
  3. ahhh, so they got pissed their traders were leaving for better rates and services elsewhere??
    its business....
     
    #43     Sep 3, 2003
  4. Speculator1929

    Speculator1929 Guest

    I replied to your PM, but I ask one series of the questions here too as you brought it up here in this forum again. This "private source" isn't he making purpose loans? Aren't you facilitating that by introducing your customers to the source? Also, couldn't a trader just walk away from these loans because they are purpose loans. How is the lender going to collect without admiting he did something illegal and loaned the trader money to meet his reg T calls?

    Thanks for answering as I am one of the guys who doesn't quite understand the process.
     
    #44     Sep 3, 2003
  5. Speculator1929

    Speculator1929 Guest

    I just received a PM fully answering my inquiry. I do not know how to take down a post or I would my previous one.

    Speculator 1929

    Mr. Armstrong, Good luck I hope it works out for you.
     
    #45     Sep 3, 2003
  6. Not that I am aware of. The only time some action was taken was when a guy tried to quietly walk out and take a bunch of traders with him 1: after blowing up, and 2: not even mentioning it to anyone.
    We do have some contract clauses, but they are only on the spcific OPG trading style that a lot of guys use here.
     
    #46     Sep 5, 2003