Compensation for traders at top firms?
- Thread starter sammybea
- Start date
_NOT_IN_MY_BOOK_
However, I do know some _OPTIONS_ traders that go by the 80:20 rule, that is, they make 80% of their profits from 20% of their trades, and the rest are small positives/negatives. I don't understand swing trading, but I would not be surprise if something similar was true there (be easy on me swingtraders - I don't know what I am talking about - any input ?) But _YOU_AND_I_ARE_INTERESTED_IN_THE_MODE_BECAUSE_MOST_OF_OUR_TRADES_ARE_VERY_SHORT_TERM_. We are more likely to ka-ching the register than "let our profits run."
BTW, in our case,the mean and the mode are very close.
Hitman, you and Bob are both terrific traders - Don just has more capital than you so his cojones are bigger.
Cut this shit out you guys have going between you.
Jus my .02c
nitro
From a manager's perspective, it is called running a business.
From a trader's perspective, it is called leeching, just ask STOCKKBROKER lol.
Don:
I have a trader on my team who takes 3-4 trades a day, makes 15-20 cents per share on good days, it is called intraday swing trading, it is called an efficient strategy, no I will not be able to "leech" off him much (well I taught him the OO strategy
, but I still welcome this kind of style of my team for a mix of different strategies.
Look, it is not like I dislike high churn strategies, I even modified your OO strategy and taught it to my entire team (and I did tell them that without someone named Don Bright from Bright Trading, one of our competitors, I wouldn't have had the concept to come up with something like this), my entire arsenal is made of high churn strategies, but at least I don't say it with a straight face that a strategy that primarily looks for dimes and quarters with occassional homers is a low churn strategy.
From a trader's perspective, it is called leeching, just ask STOCKKBROKER lol.
Don:
I have a trader on my team who takes 3-4 trades a day, makes 15-20 cents per share on good days, it is called intraday swing trading, it is called an efficient strategy, no I will not be able to "leech" off him much (well I taught him the OO strategy
, but I still welcome this kind of style of my team for a mix of different strategies.Look, it is not like I dislike high churn strategies, I even modified your OO strategy and taught it to my entire team (and I did tell them that without someone named Don Bright from Bright Trading, one of our competitors, I wouldn't have had the concept to come up with something like this), my entire arsenal is made of high churn strategies, but at least I don't say it with a straight face that a strategy that primarily looks for dimes and quarters with occassional homers is a low churn strategy.
who cares how much those people make at goldman and jpm.........
Originally posted by Hitman
Don:
I have a trader on my team who takes 3-4 trades a day, makes 15-20 cents per share on good days, it is called intraday swing trading, it is called an efficient strategy, no I will not be able to "leech" off him much (well I taught him the OO strategy
OK, this is good, thank you for your definition.
StatTrader:
I was part of the Establishment. Top school credentials. Worked at Merrill. Then went on the buyside managing institutional money(which the entire fund complex had abotu $40Billion. much more than what I'm trading now as prop trader).
And I do agree that these "daytraders" most of them will probably fail and be disillusioned. But if you have a valid strategy(i.e. after working a few years on the institutional side), then prop trading might be a better deal. The most highly paid people in finace are hedge fund managers and they only get 20%. But then we are talkign abotu 20% of a $100M. But most hedge funds are rather small anyways from $5M-$70M. $100M+ club is rather thin. But at prop you can get at least 50% deal with no risk capital of your own on the line.
But I doagree for the average person coming in hoping to make millions withou any finance training, no backtested strategy, no respect for risk mgmt guidelines, then daytrading/proptrading is just a shot int eh dark. Kinda like gambling..
Ang honestly, if this doesn't work out, then I can always go back to the institutional world. I still get calls from recruiters every now and then. But I'm going ot give my hand at this prop thign for atl east 1yr. Then decide if I should stay prop or go back to the institutional world.
trader99