managing OPM through a setup with a prop firm, 2 accounts

[Copernicus]

i was talking to some people this weekend, and heard about this set up.

2 accounts at a prop firm. one in traders own name, leveraging own money, another set up by outside party with given authorization to trade in. the outside party is interested in certain % return per month, above that profits are split.

Since OPM is not leveraged, the returns could be audited and a track record of managing money could be established.


anybody trading this way?

 

[Perseus]

No but I'll let you try it. Create an account with my name on it with full legal rights and access, put in a million, and I'll tell good stories about you.

 

[Copernicus]

Quote from Perseus:

No but I'll let you try it. Create an account with my name on it with full legal rights and access, put in a million, and I'll tell good stories about you.

only qualified need to apply.

 

[pjbreen]

If you don't need the leverage just do it in a retail account.

 

[marklucas]

An old question, but an interesting question for PROPers thinking about OPM...

 

[munnyhunny]

If you don't need leverage why put the money in an unregulated prop.
Put it at a regulated b/d and run it with a POA.

 

[marklucas]

And if you do need leverage?