Need Some Advice....

K

kenny267

Hi everybody. I'm new to this forum and was wondering if anybody had some advice for me.
Upon graduating last year, I got a job as an associate FA for a well-known brokerage firm. I passed my 7 & 63 and finally got into it. As the months passed, I realized that this job was not for me. I am not the pushy salesman type - I am more the analytical type person. I resigned recently because I really couldn't take it anymore.
What I have come to realize is that I am more suited for a trader position. At first, I thought it would be best to get a job as a trader's assistant to learn all that I can before jumping into the realm of the trading world, but I have recently gone on some interviews at a few prop trading firms. They sound very interesting and I know that with my drive and determination, I can be successful at this.
My only qualm with this position is that I have been told (by the interviewers) that during the learning process you get no salary and that you will most likely not be profitable for almost a year!! I have no problem making this work - I'm willing to get a weekend or night job while I learn the ins and outs of trading, but I want to know if this is true, or are they just trying to weed out the people who aren't as dedicated to making it in this field?
If there are any prop traders on this forum - did you also have to go through this long learning curve and is it worth it? The last firm I interviewed with said they had a 65% success rate - Does this success outweigh the year of being poor?
Any suggestions or advice of what path to take would be greatly appreciated. Thanks for all your help!
 
Although I do not have any huge financial commitments (rent, family, etc.), I do have some including school loans, credit cards, cell phone plus it will cost a little over $250 to commute to the city monthly....but you are right, I am very eager to become a trader. Thank you for your posting.
 
Hey keeny
i am some what looking to do the same thing being a trader as i have a passion for it
But when they tell you that 1 year will be very tuff it is very discourging
when will you actually start making ? money and what gurantee is there
i heard some firm make you trade LU and jdsu just to get rebates
please give me some feed back also and what firm are you looking at u can pm me also :)
 
Trading is a business that many people come into with unrealistic expectations. Yes there is tons of money for the taking, but it takes quite a bit of time to learn how to "take it".
Yes, if you decide to go prop, expect at least a 6-8 months learning curve. If you go into the situation knowing that your goal is to learn learn learn, it will be easier on your phsyche.
I went prop and once i joined a group within my firm, it took me 6 months before i was profitable and took me another 3 months after that to start making at least 5k a month. Now I avg about 8k a month and hopefully will keep pushing that higher and higher.
So if you choose to go prop, stay focused and commited and dont spend too much money on unneccessary stuff. Live cheaply and work your ass off. And, if you do the right things in your trading, you'll see what all the sacrifice is for.


PS The prop firm wants you there, its the market that does the "weeding out"
 
"Imagine waking up one morning really sick and tired of your job. You have about $25,000 saved for a new business opportunity and another six months worth of income to cover the basic bills. You turn to face your loving spouse and proudly announce, "Honey, I think I am going to quit my job and become a nuclear physicist."........."It sounds absurd and of course it is- yet every day thousands of would-be traders make the same kind of cavalier decision when it comes to starting a trading career."

Source: SFO Magazine p 45. FX Education: Key to success or a waste of time? by Boris Schlossberg



I hope that excerpt gives you a better idea of what you are getting into and what they mean by taking a year to be profitable....you have two options

1) get a salary job and safe some money up and start trading a small account while you get the hang of things.....
2) go to the prop firm and learn how to trade while your expenses are low

neither option will guarentee success its just a matter of comfort....option 1 will give you work experience if it turns out trading is not for you though
 
When I started in this business, I had 25k, 1 years worth of savings, and was willing to do whatever it took to "make it!"

2 months into it, I lost half of my money and was looking for options! I searched for a mentor, and found one. I needed a framework to work with, and all of my previous studies told my to focus on trying to make points on trades. Once I shifted my focus from dollars to cents, and focused on finding ST trades, and making money today, things started falling in place. Mymentor didn't give me the holy grail, but taught me a methodology that I molded into my own trading style.

Find a mentor, focus on learning and mastering the ST game, work hard, and ASK THE RIGHT QUESTIONS?

Good luck!

Mike
 
Thank you all for getting back to me. I'm sorry I didn't respond earlier, I had some problems with my computer.

All of your suggestions really helped, but now I am at a difficult crossroad. I have accepted a position at this prop firm, but I can't bring myself to sign to sign the non-compete agreement. It is a 36-month and I need to have 25K in my account at all times.

My problem is that I also have another offer on the table offering me 50k/year doing settlements...any advice would help
 
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