Can anyone recommend one or two FCMs for a new CTA?

[slash2859]

R1234,

blast it out to Intro Broker databases and begin managing the clients they bring to you through RJO or RCG.-----Did you mean I then move the account from IB to RJO or RCG,or just simply open a block account there and in the meantime still trade at IB?Because my initial capital is limited,likely not afford to open two trading accounts at different FCMs. And what kind of Intro Broker databases you were referring to?I just know several CTA websites,such as Barclays and Autumngold.

Actually,I haven't had a whole picture of developing my CTA.Although I have 7 years experience in trading and a profitable and consistent system,but lack of knowledge about the business.Such as how to get in the capital introduction network,how to get more disclosure to potential investors,and more importantly for now is that how to get a good startup at IB which has no give-up agreements with other firms.This's what I'm worrying most about now.

Could you share your experience step by step as a scenario when you begun your CTA?That would be greatly helpful.Thank you in advance.

Not sure what issues you are referring to. But one main issue is the execution of trades for clients who are on different platforms (forced to trade different platforms because of lack of give up mechanism at IB).
I handle that by alternating the execution each week ie. one week the trades get done first on the RJO platform and the next week the trades get done first at IB.

 

[slash2859]

Thanks for the recommendation.I find that RJO,RCG and IB are the most popular recommendation around the business.I heard that there were a lot of firms that have horrible hidden fees. All I want is simply enough,reasonable commission,good execution and good service for CTA.

Do you know any independent intro broker working with the firms you recommended?I really appreciate that.

Advantage or Rosenthal-Collins Group come to mind. If you want access to some OTC products and LME without a give-up agreement, then New Edge comes to mind - but they have a considerable account minimum.

 

[R1234]

R1234,

blast it out to Intro Broker databases and begin managing the clients they bring to you through RJO or RCG.-----Did you mean I then move the account from IB to RJO or RCG,or just simply open a block account there and in the meantime still trade at IB?Because my initial capital is limited,likely not afford to open two trading accounts at different FCMs. And what kind of Intro Broker databases you were referring to?I just know several CTA websites,such as Barclays and Autumngold.

Actually,I haven't had a whole picture of developing my CTA.Although I have 7 years experience in trading and a profitable and consistent system,but lack of knowledge about the business.Such as how to get in the capital introduction network,how to get more disclosure to potential investors,and more importantly for now is that how to get a good startup at IB which has no give-up agreements with other firms.This's what I'm worrying most about now.

Could you share your experience step by step as a scenario when you begun your CTA?That would be greatly helpful.Thank you in advance.

The FCM will set up a block account in your CTA's name only when you have multiple client accounts with them, one of those can be your account (or not).

Some popular Intro broker databases:
autumngold.com
iasg.com
ma-research.com
absolutereturns.com
managedfutures.com
altavra.com
daniels trading
attain capital
and many more just dig around on google.........

I've been running an RIA business for several years now and wanted to create a second business that would mesh well with my RIA. So I formed a CTA as a separate business entity. The first clients of the CTA were contacts/clients I already had from the RIA space - I manage their accounts at Interactive Brokers since I 'Introduced' them to my own CTA. Later on I contacted an Introducing Broker I've known for some time and he introduced me to RJO and raised clients for me. He's not any of those brokers listed above and does not really have a splashy website, but he does have connections with QEP's with large assets.

My advice is, if you have a multi-year profitable and verifiable track record in your own account, get it put into a NFA compliant capsule by a third party with the proper disclosures, register as a CTA and blast it out to the websites above. I would be surprised if you did not attract clients because investors are now willing to look at smaller interesting CTAs given the traditional mega trend following shops have slumped in recent years (although, they look like they might be coming back to life lately). I allocate my own assets to small CTAs and might look at your track record if you get to that stage

 

[slash2859]

R1234,I've decided to open the account at I.B..

So you operate your CTA at I.B. and RJO simultaneously?should you open a trading account at RJO or just the block account?I don't know how this works?

My situation is a bit complicated.I can not use pass performance in the d doc.I have to build a new one from now on.But thank you anyway.I think I'm gonna be able show you something in the future.

And what do you think of the money manager marketplace I.B. offers? does it work good for you?what's your opinion on how to develop better at IB?

Thank you for all you've shared with me,as I said,I'm totally new to this,I just want to get as much information as I can.

Regards!

Slash

The FCM will set up a block account in your CTA's name only when you have multiple client accounts with them, one of those can be your account (or not).

Some popular Intro broker databases:
autumngold.com
iasg.com
ma-research.com
absolutereturns.com
managedfutures.com
altavra.com
daniels trading
attain capital
and many more just dig around on google.........

I've been running an RIA business for several years now and wanted to create a second business that would mesh well with my RIA. So I formed a CTA as a separate business entity. The first clients of the CTA were contacts/clients I already had from the RIA space - I manage their accounts at Interactive Brokers since I 'Introduced' them to my own CTA. Later on I contacted an Introducing Broker I've known for some time and he introduced me to RJO and raised clients for me. He's not any of those brokers listed above and does not really have a splashy website, but he does have connections with QEP's with large assets.

My advice is, if you have a multi-year profitable and verifiable track record in your own account, get it put into a NFA compliant capsule by a third party with the proper disclosures, register as a CTA and blast it out to the websites above. I would be surprised if you did not attract clients because investors are now willing to look at smaller interesting CTAs given the traditional mega trend following shops have slumped in recent years (although, they look like they might be coming back to life lately). I allocate my own assets to small CTAs and might look at your track record if you get to that stage

 

[R1234]

R1234,I've decided to open the account at I.B..

So you operate your CTA at I.B. and RJO simultaneously?should you open a trading account at RJO or just the block account?I don't know how this works?

My situation is a bit complicated.I can not use pass performance in the d doc.I have to build a new one from now on.But thank you anyway.I think I'm gonna be able show you something in the future.

And what do you think of the money manager marketplace I.B. offers? does it work good for you?what's your opinion on how to develop better at IB?

Thank you for all you've shared with me,as I said,I'm totally new to this,I just want to get as much information as I can.

Regards!

Slash

RJO (or any FCM) won't open a block account for you until you have multiple client accounts with them so for now don't worry about the block account. Stick to your prop account at IB.

I haven't looked closely at the IB manager marketplace. I recall it looked like it was mostly equity based smaller hedge funds? They're modeling it after the big prime brokers and probably won't be useful for CTAs to find clientele.