New to The Scene

That's where they are trying to scam people. You are not hired to a job. You are basically making a deposit to a firm just like you would at a brokerage account. I can't believe people fall for this crap and think that they are being hired to some cool new job. You are just opening an account to trade. The fact that they even do an interview process is ludicrous.

Secondly, if you don't know how to trade already, getting your series 7 & 63 is such a waste of money, time, and effort. You will have to study pretty hard to pass it. If you don't already know how to trade, then trying to be a professional by getting a license alone is crazy. Why waste your time and energy in training for that exam when you could be using that time and money to learn to trade. Man, I just hate to see people become prey for these churn and burn firms.

Just save up some money and open a brokerage account with per share pricing, most active trading brokers have the same commission schedule as these prop shops and will wave the monthly fee if you trade enough volume. So it can actually be cheaper. If you think you need the outrageous 10 to 1 buying power, you're wrong. That much margin will just blow you out faster as you learn.

Just my opinion from these past 10 years in this business.
 
agree with ricerocket

At this point I'll

--keep looking for swing trades to try to improve charting abilities

--trade some YM or other mini so I can familiarize myself with a more active style

--longer term move into remotely prop trading (maybe office). I have to say that so far, Bright would be the one.

Only problem with my plan is this day job is taking up my time, and need more capital!!:D
 
Quote from niteflite:

Can someone tell me how selective these prop firms are in their hiring process? CmcG10, what was your interview process like and why did you choose these guys over any of the other firms in your area?
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In our case, as with some other firms, our traders are independent business people, not simply employees. We have to be "equal opportunity" of course, but at times we strongly suggest that a certain person might re-think his adventure into trading.

With our people keeping all their profits, and willing to take a minimal risk, we tend to get the more "entrepreneurial" types who treat trading like any other business they might venture into.

My thoughts are, that if you're going to become a trader anyway, you may as well take advantage of all the tools you can (capital, training, market access, short stock pools and short stock interest, etc.).

No "franchise fee" or anything, like with many businesses, your money is still yours unless you encounter losses, of course.

And, if you really think about it, our people have a very limited downside (only their risk capital), an unlimited upside potential....and what other business can you essentially borrow a $million or more every day for free (and "cheap" for longer term).

The trading "jobs" are not nearly as prevalent as they were in the old days, primarily due to technology advances. My guys at Goldman tell me that 1 discretionary trader can now do the job of at least 10 people back in the 90's. And, with so much program trading going on, they simply don't need to pay as many people to get the same results. But don't get me wrong, if you land even a secondary level job at Goldman, I suggest going for it, LOL.

Many new people have told me they find this article interesting.

http://www.stocktrading.com/adaptingx.html

Just something to think about.

Have a good day,

Don

edit: Regarding the S7 licensing, it is simply a necessary task to be able to have the access to capital, and have proper order routing, and to receive interest on short stock, all of which do not apply to most retail customers without licenses. Not a big deal, heck, every stockbroker passed the test, how tough can it really be, LOL.
 
Tell me if that is true, that GS has one discretionary trader doing the job of 10, how is it that your "traders" and their charts and point and click can make money.

Prop trading is over, be honest with the board and yourself.
 
Each trader here is running their own business, engaging in strategies that tend to be lower risk, higher reward (than retail directional trading for the most part), but tend to be capital intensive. Just because GS uses algo's for more of their inter-market trading doesn't mean that discretionary traders cannot make money intramarket trading equities. An individual The day of the individual trader is certainly not over, and even the NYSE is reverting back to some of the old rules that give us back some of our edges. Keep in mind that over half our traders have been with us for many years.

And I agree, the "employee" prop model has been cut back dramatically over the years.

All the best,

Don
 
Quote from invertedCurve:

anyone who trades stock for a living is wasting their time try futures if you fail then options, then stock...
FUTURES are pro!
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We've been CME members since the early 1980's, and traded the "across the street" arbitrage with the CBOE options before we had margin relief, wow, hard to believe we pulled that off, LOL. And, of course the decade and a half trading options, when there was a real edge (same stategies as today for the most part, straddles, strangles, condors, iron condors, conversions, reversals, etc.) when we were trading for quarters and that was great (the good ol' days, LOL).

We found that it has come pretty much full circle, and we trade primarily equities because we find a good edge - and I mean on our trading, Bright family and our group does pretty well. The darn commissions for E's etc. are so much higher than the floor traders and the CME member firms (something like 5 times more), hard to compete.

But, as always, whatever works for you, go for it. Our traders use options and a few trade futures, but primarily stocks at this point in time.

All the best,

Don
 
Whom ever wrote that they're a scam is an idiot. I'm sure that the company with absolutely no legal issues is pleased to be called that. $5000 deposit? I'm glad someone in this forum mentioned that. One thing they forgot is to explain the "$5000 deposit". They give you free training for as long as you need ( FYI they are under a great management), they make sure you're in your comfort zone, answer any questions you have, advise you of anything and everything you need to know about trading. Lastly, they give you 100K of their own to trade with. the 5K is for your own good. Why? Well, have you heard of hidden fees? Yeah, you won't find it in Lynx. They let you know right from the start, that the 5K you're bringing is for your own use. In what sense? Well, when you play black jack in a casino, what better way is there to learn when to stop gambling than when to use your own money? No, they don't want you to loose money, they want you there as an employee, that's why they give you an excellent traning but they also don't want you to spend their capital away just because you don't know when to stop with your gambling. DO NOTE, YOU WILL GET YOUR 5K BACK REGARDLESS + you make 80% commision of your trade with the money the company gives you to trade with. So no, it is not a scam, it's you investing in your own capital, no one is taking your money.
If you don't like the policy, please go else where. There are many successful traders within the company and no one has complained about their earnings. If you're new to trading, do note, IT IS PERFORMANCE BASED anywhere you go to trade.

So, hidden fees or your own commision from your own investment?
 
Dude, you are responding to a 3 year old posting. Things have changed since the original posting. Why are you resurrecting this outdated* info?


*outdated, as in this is 2010 not 2007, things have changed. The prop landscape has changed. Hell, we even have a new President!
 
Quote from cstfx:

Dude, you are responding to a 3 year old posting. Things have changed since the original posting. Why are you resurrecting this outdated* info?


*outdated, as in this is 2010 not 2007, things have changed. The prop landscape has changed. Hell, we even have a new President!
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He's shilling for his company. They post all over the place looking for bodies. This is his way of revisisting an old thread about their company.
 
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