Payout Structure Questions at Interview

[momotrader]

Originally posted by cashonly


OK, I gotta ask this question. How does Heartland retain GOOD traders?

I mean if a trader really learned to trade and was making good money for the firm, why wouldn't he go to another firm that gives the trader 100%? What would the advantage be to staying at Heartland?

1) There's a certain style that's suitable for prop trading, and places like Heartland teach that style. More size, more scalping, more tickets. You couldn't trade that way as a customer because the commissions would kill you, but trading prop that way rewards you.

2) Heartland retains GOOD trades because you don't HAVE to trade prop. You have 3 options at the point you become a GOOD trader... you can trade prop, you can trade semi-prime (put up your own money, get 10-1 buying power, negotiate a ticket deal, and take home 80%), or trade completely as a customer (put up at least 50k, get only 4-1 buying power, negotiate a ticket deal, and take home 100%).

As you can see, Heartland is a very flexible firm. There's really no reason to go elsewhere unless you negotiate a MUCH better ticket deal.

 

[goldenarm]

I agree with momo's comments. Plus, there's a sense of camaraderie among the experienced traders. Alot of them are long time friends and they hang out together and trade similar styles. Why skip to another firm that has unfamiliar faces?

 

[calibertrader]

Originally posted by mjc279
I am graduating college senior with an interview at heartland coming up. People always tell you not to ask about salary during your first round interview but does this apply for day trading firms?

Also, does anyone have any info on heartland so that I have less questions to ask?

I am interested in payout structure and trading restrictions (daytrading only or momentum and swing as well) mostly.

thanks for any help

Daytrading is different, you should definately find out on the first interview. Rarely is there a second interview. If they like you, they'll offer right there.

 

[felichka]

What is this ticket deal ? People still pay tickets ?

 

[WCOMtrader]

Payout vs Commissions is probably one of the most important characteristics of the job.

Not asking about it during an interview would make you look desparate. Remember - when a firm hires you - you are the manufacturer of money. And you need to know your cut.

 

[Bryan Roberts]

Originally posted by nwbprop
I also trade at heartland. Consider yourself lucky if you get hired. They usually only hire ivy grads or the like. There is an initial SALARY for the first few months. Did you hear that? salary. Which becomes a draw after a few months. The salary is to help you while you are learning how to trade. They understand the learning curve and pay you a salary to help you out. The standard deal for new traders is amazing.

ivy grads and the like!!! lol lol lol....or college dropouts from what i hear which personally i find nothing wrong with. i've come across several traders that were considering going with heartland... they said the salary/draw only last a short time. also, heartland is new to listed stocks and therefore their software is more focused to nasdaq. one guy i talked with that traded for them said the commissions were a little high. their personnel has made some rather arrogant statements such as, "we're going to put all the other shops out of business." good luck.