May they rest in peace: dead firms
- Thread starter javaboy
- Start date
the dubiously named WORLDCO.......went from 300 to 840 traders during my time there, and went from 840 to 200 during the last 8 months of the firm.......unbelievable, yet an appropriate retracement considering they started with less than 100 circa 1994.........biggest and most emblematic failure?.....the bigger question is who's next?.....it looks like a three horse race.
grimer11
grimer11
There were also a ton of tiny fly by nights that disappeared.
Don, if Bright were to close or decide to exit the business, that 10 million would go to unwinding: paying leases and other creditors..............so its not true that a trader would have to lose his money plus 10 mill. before there is ANY risk. Who knows what type of LIABILITIES a firm has, could be much greater than the 10 million class A capital. Worldco had 7+ million in class A and the guys only got 2/3 of their money. I think a more important factor to assess risk in a firm is their profitability and risk management. A firm that is highly profitable will less likely go under. Telltale signs of a firm in trouble are lowering buying power, giving crazy cheap deals, talks of buyout, change in management. Good luck
Actually... I think that Don raises a very valid point. His feedback about balance sheets for the firm is a question that every prop trader should ask any firm that they are considering joining.
- Greg
- Greg
Quote from bigbeech:
you just couldn't resist plugging bright trading on a forum discussing defunct firms, could you don??
JAVABOY.... tradecast....year 2000.... in a typical 6 hour trading day.... i had 10 -25 disconnects... their smart order routing was as clever as a box of rocks.... please i am laughing now when i think of all the crap firms and scumbag brokers i had to overcome to still be in the game....
r.i.p. Navillus Securities.