Prop futures firms?

You guys heard about TradeLink, LLC prop futures trading group?

They pay a base salary and % of your profits. But it just starts out at 33%. You guys think it's a good deal?

You trade their capital. So, no capital contribution,etc. And it's a sliding scale from 33% onwards. I'll talk to them soon.

Just throwing it out there to see what ya think...

thanks

misc
 
Altea Trading
Geneva Trading
Jump Trading
Matrix Trading (NT securities for customer)
Goldenburg Heymeir (sp?)
Gelber Group (supposedly need to be making 400K gross to get backed!)
DRW trading
Spike trading
Vankar Trading

All these mentioned are to be considered very competitive. I talked to Matrix Trading. They do a sliding scale of profits too. They do a draw. My friend with a 3.8 gpa and recommendation from a top fund manager couldn't even get interviews at these places. I think it's all about track record at these places. Every single one I talked to said they like candidates w/ a track record. You don't have to be making millions, just consistent profitablity w/ one contract is good. Of course, I don't work at one of these places so my info is only hear say.

Good luck people!
 
Quote from misctrader:

You guys heard about TradeLink, LLC prop futures trading group?

They pay a base salary and % of your profits. But it just starts out at 33%. You guys think it's a good deal?

You trade their capital. So, no capital contribution,etc. And it's a sliding scale from 33% onwards. I'll talk to them soon.

Just throwing it out there to see what ya think...

thanks

misc
More...

Yes. I was supposed to interview with them this coming Monday, but some stuff came up, so I don't think I'll be able to make it. I think any deal that pays you while you learn is good. The payout structure is not the greatest there, but who cares. They give you 6 months to a year to figure out how to make money while paying you a salary. Plus they don't charge desk fees like some of the other futures prop places and you trade at very cheap commission rates. In other words, they only make money off of your trading profits.
 
Quote from okwon:



Yes. I was supposed to interview with them this coming Monday, but some stuff came up, so I don't think I'll be able to make it. I think any deal that pays you while you learn is good. The payout structure is not the greatest there, but who cares. They give you 6 months to a year to figure out how to make money while paying you a salary. Plus they don't charge desk fees like some of the other futures prop places and you trade at very cheap commission rates. In other words, they only make money off of your trading profits.
More...

Oh, I see. So, the salary only lasts for 1 yr? I had the impression that it was an ongoing thing. Anyhow, if you do have the interview before me, can you give me the scoop on it? keke.

thanks!

misc
 
No it's not that the salary only lasts for one year. It's on-going. But, if you're not making money after a year or so, they're not going to keep you.
 
Quote from okwon:

No it's not that the salary only lasts for one year. It's on-going. But, if you're not making money after a year or so, they're not going to keep you.
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Yeah, that makes sense though. If I'm not making money after a year of trading, then I wouldn't want to stay trading either! HAHA. I would go find something else to do.

In fact, if I make less than a $100K in trading (my take-home after cut of profits), then I would think twice about trading. I have some experience in trading and hoping with their capital it could do the magic of magnifying the gains.

Supposedly they have decent training too. Have you heard anything about their training?

thanks,

misc
 
Misc: If $100K is your expectation after your first year of trading... I would say not at all realistic, consider another job.
 
Quote from bone:

Misc: If $100K is your expectation after your first year of trading... I would say not at all realistic, consider another job.
More...


So, here's the deal with TradeLink. Tell me what ya think of it?

So, they pay you $30K base salary. And you will NOT get bonuses until you make over $100K. So, they basically said your first year you'll get $30K.

Now, the second year, let's say you make $200K(which is very very hard even in the futures market with their large capital base). Your bonus would be 200K - 100K(the base where the bonus kicks in) = $100K. 33% of that is $33K.

So, if you are great and your 2nd yr, you make $200K for them, you will end up with $66K total pay. That doesn't sound that great to you all or does it?

At least, they pay you a salary and no capital contribution. But I would wished they structure the bonus and the payout a little better.

What this means is that you could be making $30K for a while or maybe not cuz if you don't make that much after the first yr there's no point staying there.

what ya think? Is that the deal I should take? that's what's being offered.

What they say is that a lot of people make 6 figures. That means some of their traders make $400K . 400K-100K = 300K * 33% = 99K + 30K = $129K. I guess if you learned how to make $400K with their money then you can definitely go out on your own and get 100% payout? haha.

over all, it seems like a big hurdle to jump over...

what ya think?

misc
 
Look at it this way...If you were a CTA with a 2/20 (management/performance) structure, you would be looking at a similar payout, yet you would also have to absorb the costs of legal and accounting fees, marketing fees, investor correspondence, and quite possibly some form of litigation if things went wildly out of control...At a 2% of assets under management to generate 30k a year you would need approximately $1,500,000 under management, but you would also have to cover larger costs, so the 30k would not go as far...

The performance fee is also less as a CTA, than what they are offering you, albeit you have to hit a benchmark first to start drawing from them on the profit sharing agreement...From the way I see it, if you don't have the ultimate confidence in your trading abilities or a number of years of experience grinding it out and covering your personal overhead, your best bet is to get involved with a situation like this...Too many people make false assumptions at the beginning without any salary or any sort of stable source of income or savings...

Frankly, I am surprised they even offer this plan...I am assuming that they have somewhat strict criteria or screening?
 
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