Is it possible to join a Prop Firm if I make 1% a month?

TheDawn said:
Sharing a % of the profit with either a backer or a prop trading firm is like taking a loss of that %. If you don't want to incur that % of loss involuntarily, why would you incur that % of loss voluntarily by giving it by somebody just because they give you more money to trade? A 12% profit is a 12% profit regardless of how much capital you trade with but a 10% profit due to a 2% profit sharing is only a 10% profit even if you trade with a larger capital. I would rather keep 100% of what I make than sharing a % with someone who gets to freeload on my work. I mean that's the whole idea of me becoming a trader so I can get to keep 100% of what I make otherwise I will just work for others where I only get 0.000001% of the fruit of my labour. LOL
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So if you have 100K and can make 12%, you make 12K. But if have use prop and get access to $1M and can still make 12%, this is 120K. Even if then have to give 10% of this to prop firm, you still make 108K. Is making $108K not better than make $12K? And where this 0.000001% come from??? If you trade for prop and only get paid 0.0000001% of profit then you are being cheat LOL

Maybe this way make sense for you but I not think this make sense for everyone else. Different people have different need and different setup have different pro and con. I have group who trade prop for many years, is very good fit for us and what we need, but we also do other type of trading where we do not use prop. Depend a lot on what need for each strategy. So each trader need to calculate what is best fit for them. Above I just try to say there are reason for prop, sometime it very useful.
 
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mtserovtrading said:
So if you have 100K and can make 12%, you make 12K. But if have use prop and get access to $1M and can still make 12%, this is 120K. Even if then have to give 10% of this to prop firm, you still make 108K. Is making $108K not better than make $12K? And where this 0.000001% come from??? If you trade for prop and only get paid 0.0000001% of profit then you are being cheat LOL

Maybe this way make sense for you but I not think this make sense for everyone else. Different people have different need and different setup have different pro and con. I have group who trade prop for many years, is very good fit for us and what we need, but we also do other type of trading where we do not use prop. Depend a lot on what need for each strategy. So each trader need to calculate what is best fit for them. Above I just try to say there are reason for prop, sometime it very useful.
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Was just sharing my philosophy, didn't expect anyone to agree with me. Like I said 12% profit is 12% regardless whether it's on $100K or $1 million. Not interested in sharing my profit that's all. If you have the money, you are welcome to make $$ on your own, don't freeload on mine. The 0.000001% take-home pay is working for others in a day job. Perhaps I should be more clear.
 
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TheDawn said:
Was just sharing my philosophy, didn't expect anyone to agree with me. Like I said 12% profit is 12% regardless whether it's on $100K or $1 million. Not interested in sharing my profit that's all. If you have the money, you are welcome to make $$ on your own, don't freeload on mine. The 0.000001% take-home pay is working for others in a day job. Perhaps I should be more clear.
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I don't think you understand the power of a propfirm and how fast it can fastrack your trading career. Let's say you start with 100K, you make 12% that is 12K. Next year, and that is without taking any money out to live on it... your account is at 112K. Next year you will be making 12% or 13.4K. Still not even close to being anything you can live on.

With a prop firm. You can trade that first year and give 2K and only keep 10K, but you proven yourself to them that you are consistent and profitable, they will then probably 10X or even more your BP in the next year which means you have the possibility of making 10% of 1M instead of 12% of 112K. that is 100K and something that someone can live on... Getting on your own from 100k to 1M just by compounding your profits and never taking a salary could take a lifetime and you would miss out on life.
 
bouale93 said:
I don't think you understand the power of a propfirm and how fast it can fastrack your trading career. Let's say you start with 100K, you make 12% that is 12K. Next year, and that is without taking any money out to live on it... your account is at 112K. Next year you will be making 12% or 13.4K. Still not even close to being anything you can live on.

With a prop firm. You can trade that first year and give 2K and only keep 10K, but you proven yourself to them that you are consistent and profitable, they will then probably 10X or even more your BP in the next year which means you have the possibility of making 10% of 1M instead of 12% of 112K. that is 100K and something that someone can live on... Getting on your own from 100k to 1M just by compounding your profits and never taking a salary could take a lifetime and you would miss out on life.
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Yes 2K 10X is still just 20K. I dunno how you get 1M out of just 20K. LOL But anyway I get the gist of what you are saying but I just don't like the idea of people giving me money just to freeload on my trading system and strategy that I have worked my a$$ off to create. This is almost like paying money to plagiarize someone else's work, almost. I think I would much prefer to have a backer if I am to trade OPM rather than to put my own money and my trading system into someone else's hands just to exchange for more funds, something that I can earn from my trading activities anyway if I am consistently profitable.
 
TheDawn said:
Yes 2K 10X is still just 20K. I dunno how you get 1M out of just 20K. LOL But anyway I get the gist of what you are saying but I just don't like the idea of people giving me money just to freeload on my trading system and strategy that I have worked my a$$ off to create. This is almost like paying money to plagiarize someone else's work, almost. I think I would much prefer to have a backer if I am to trade OPM rather than to put my own money and my trading system into someone else's hands just to exchange for more funds, something that I can earn from my trading activities anyway if I am consistently profitable.
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You would say the same thing about Venture Capital investments. People give you money so you can scale up much faster than you can do by yourself. It is a fair exchange.
 
TheDawn said:
Yes 2K 10X is still just 20K. I dunno how you get 1M out of just 20K. LOL But anyway I get the gist of what you are saying but I just don't like the idea of people giving me money just to freeload on my trading system and strategy that I have worked my a$$ off to create. This is almost like paying money to plagiarize someone else's work, almost. I think I would much prefer to have a backer if I am to trade OPM rather than to put my own money and my trading system into someone else's hands just to exchange for more funds, something that I can earn from my trading activities anyway if I am consistently profitable.
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Well, if i had to choice to make $12K on my own or to make $100K with a prop firm, i would know what i would pick :D.

By the way, what's the difference between a backer and a prop firm? You don't have to give your secret sauce away when you are trading at a prop firm ... You provide initial capital (although not all prop firms require this), they provide leverage and in return for that leverage they take a fee.

Even if they take 20%, you would still have made $68K more than you would have had on your own account without prop leverage.
 
FTDK said:
Well, if i had to choice to make $12K on my own or to make $100K with a prop firm, i would know what i would pick :D.
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I guess this is where our philosophies differ.

zdreg said:
You would say the same thing about Venture Capital investments. People give you money so you can scale up much faster than you can do by yourself. It is a fair exchange.
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FTDK said:
By the way, what's the difference between a backer and a prop firm? You don't have to give your secret sauce away when you are trading at a prop firm ... You provide initial capital (although not all prop firms require this), they provide leverage and in return for that leverage they take a fee.

Even if they take 20%, you would still have made $68K more than you would have had on your own account without prop leverage.
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Backer = people give ME money, I trade on my own platform, my software, my system, my policy, my profit-sharing arrangement, everything under my control

Prop-trading firm = I give THEM money, I trade on others' platform, their software, their system (many times), their policy, their profit-sharing arrangement, everything under their control dictated by THEM

Not the same.

If it's just leverage, I can get that from my broker. More $$ doesn't mean more leverage. LOL
 
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