1st Job - Propritary Trader???

id suggest you get a job first, save the money, live cheap as hell(no weekends spending, no fancy lunches at work, etc. etc.)

then after 1-2 years trade yourself. in these 1-2 years equip yourself to be be ready to trade then.

learn the market. stick to only one product(stocks, options, wtv.). if you r strictly going to intraday trade, learn the price action, learn when is the fastest and slowest trading.

learn how to properfly short stocks that are shortable. find out which is the best software for you, best computer, etc.

also during these 1-2years, train yourself mentally on how to cope with losses. learn how to place strategic stop losses. learn how to minizize your losses on a single trade.

learn how to use limit orders. most importantly, learn how to trade in the trend.
 
Well I'm in the same position as the poster.

Star Alliance Capital contacted me about a trading job and told me at the interview that very few make money in the first couple of months if ever. They are going to have me shadow a trader tomorrow to see if I'll be interested and will have me in training for 3 months before I go live.

It's a non salary position and I will need to give 5k(this is one of the reasons I think it might be a churning shop that everyone warns about on this site) of my own money but they will give me the leverage(they will give me more and more as I progress). They stated they will only give this to me after I've show some progress on the simulation. Plus I keep 100% of the profit.

I have a degree in Economics and have taking some extensive courses in capital markets and want to become a hedgefund manager at some point. The only problem I have is that they don't allow my trading duration for more then one day(which will limit some of the strategies I have in mind).

I've traded stocks and options before on personal accounts and it sucked that I missed out on some nice money due to poor execution websites gave(I used optionxpress and scottrade).

Like I stated if they really wanted to rip me off they couldn't be almost scaring me into not taking the job or having me trade right away. THey will have me on a sim and if I don't do well then I don't get a live account. Plus they also will need me to get the series 7 which is odd(I googled about this and it seems that only the phily exchange needs you to have then for prop traders ).

I've tried getting a job as a financial analyst for a while now and have had no luck as everyone wants 4yrs+ experience but no one wants to hired fresh out of college(how did the current analysts get passed this without lying on their resume???).I have been studying for the CFA level 1 exam in December which if I get it might help me in my job search.

This is probably the only time in my life where I could take a job like this. I'm still living at home and have very little debt. I think it is a great idea as I will have access to professional trading platforms that I wouldn't have trading personal accounts.
 
Quote from Old School:

Reminescences of a Stock Operator

by Jesse LeFevre

Get the paperback, then you can carry it with you.

I must've read that book a hundred times and I still learn from it when I pick it up. It's about a young stock trader, nicknamed the "boy plunger", who goes on to become a legend. Although the nickname can be a bit unsettling if read the wrong way :eek: :D , it is by far one of the best books out there.

It reminds us that markets never change because people never change. It's still mandatory reading at many top trading firms.
More...

The more experienced I become as a trader, the more I get out of this book each time I re-read it.
 
ggoyal: Not that I'm trying to second guess you, however, why would I risk my own capital that I have saved up, when I have someone elses capital that they're going to let me use at no risk to myself?
 
because then you dont have to live by their rules. they dont give a shit about ur money. they just want to make theirs. some prop firms, have strict rules because they dont want to lose the investors money. one reason of being a day trader is freedom from commuting and living by someone elses rules. you have ur own rules.
 
King3: Yes, you were offered a real job, putting you in a better position than most newbie traders. ggoyal's advice to you is just awful, but he did mention the one possible drawback you may face: The firm may impose rules and limits that are overly restrictive, thereby messing up your trading. You'll have to find out for yourself whether they give you a reasonably free hand to trade as you see fit... or, if they do what some shops do, and suffocate your trading with unreasonably tight stop losses and other narrow restrictions.
 
Quote from cks316:


I have been offered a propritary trading position,
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LOL

You and EVERYBODY else with a pulse and 5k.

No offense .... stay in school.
 
Quote from cks316:
Also, I am splitting the commision 80/20 with Ameriprise, so wouldn't it be in their best interest for me to do well?[/B]
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it is not a job. you are not splitting the commission, you are splitting your earnings. that is a horrible deal. all they want from you is commissions, and i'm sure their training program is gonna tell u to trade 300k shares per day so they can make money from your commissions. plenty of prop firms out there offering 100% payout, if you want to trade, find one of them.
 
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