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RBC Prop Trading Group
- Thread starter Sniper27
- Start date
Quote from cstfx:
Look at it this way, if he catches the ECN fees as well as the commission, then he's looking at almost .02 per side. He'd need to make 5 cents a round turn just to make a penny.
plus they take 40% of it.
I know the people at RBC Carlin, and I had lunch with The Managing Director a couple of months ago. They are good people, but the deal you're talking about doesn't seem to make sense to me for some reason.
If you trade only a Million shares a month, and you grossed $20,000 in profits you would be paying $15,000 in commissions, leaving you $5000 from which you only get a percentage? All this in lieu of putting up a few bucks. Even at our "high" rates, LOL, you would save about $8,000 per month.
And, you ARE putting up money by just paying it to the Firm. Many of these firms do something similar...I'm a bit surprised about Carlin.
FWIW,
Don
I believe that they operate in a different model than your company. I know someone who works there. The trader manages a multimillion dollar book and can take overnight directional trades using firm's capital. They are not trying to "scalp" out $20,000 gross like most of your traders. More position trades.
Does Bright trading allow $5-10MM overnight directional when the trader is down 100k in his account?
I'd think there would be many professional traders who would do that for a 60/40 split with not a dime to deposit from their pocket.
As for fees, I would think the quoted rate on this thread is specific to him because the person I know pays much less.
Does Bright trading allow $5-10MM overnight directional when the trader is down 100k in his account?
I'd think there would be many professional traders who would do that for a 60/40 split with not a dime to deposit from their pocket.
As for fees, I would think the quoted rate on this thread is specific to him because the person I know pays much less.
Quote from Don Bright:
I know the people at RBC Carlin, and I had lunch with The Managing Director a couple of months ago. They are good people, but the deal you're talking about doesn't seem to make sense to me for some reason.
If you trade only a Million shares a month, and you grossed $20,000 in profits you would be paying $15,000 in commissions, leaving you $5000 from which you only get a percentage? All this in lieu of putting up a few bucks. Even at our "high" rates, LOL, you would save about $8,000 per month.
And, you ARE putting up money by just paying it to the Firm. Many of these firms do something similar...I'm a bit surprised about Carlin.
FWIW,
Don
Quote from Tracy McGreedy:
I believe that they operate in a different model than your company. I know someone who works there. The trader manages a multimillion dollar book and can take overnight directional trades using firm's capital. They are not trying to "scalp" out $20,000 gross like most of your traders. More position trades.
You are exactly right, this is not your average prop shop where the traders scalp for pennies. These are traders that take overnight positions, they are involved in other strategies. Basically when I met with David who is the Managing Director he told me the traders there can do what ever they want (within risk parameters) to make money. So thats why the commissions are high, you can get lower commissions based on what tier you are at. For the OP he would be a omega, so no money up. IMO its a wonderful place to trade, its as close as you can get to working on a IB trading desk.
LOL, we have traders who use $millions overnight, mostly hedged, but some directional players. I have a call in to my friend at RBC just to chat, but I'll ask which of the 3 trading models we're talking about here (I think there was 3 models when I met with him in August).
As I've said before on the board, I have respect for what Ron Shear built with Generic/Carlin, as well as those whom I met with at the RBC party in New York in August. I have sent traders there over the years, and they have sent traders here.
I count them with the "Good Guys." And, whatever the "deal" might be, associating with a good firm is a valuable experience, especially for a young trader.
BTW, there are many ways to make $20,000/month...and we have never really been a "daytrading" Firm as many are. Our people can and do trade short term, mid term, and longer term.
All the best,
Don
edit I found the brochure from August, here are the highlights of the 3 tiered program.
RBC Professional Trading Group:
Alpha: Fully financed by RBC. Full time deidicated trade operations group.
Beta: All the advantages of the Omega tier plus the opportunity for institutional financing rates and enhanced leverage.
Omega: Optimized leverage for your trading dollar. Competitive commission rates.
Anyway, didn't want to have any misunderstandings. These are good people.
Good luck with your trading position!
Don
As I've said before on the board, I have respect for what Ron Shear built with Generic/Carlin, as well as those whom I met with at the RBC party in New York in August. I have sent traders there over the years, and they have sent traders here.
I count them with the "Good Guys." And, whatever the "deal" might be, associating with a good firm is a valuable experience, especially for a young trader.
BTW, there are many ways to make $20,000/month...and we have never really been a "daytrading" Firm as many are. Our people can and do trade short term, mid term, and longer term.
All the best,
Don
edit I found the brochure from August, here are the highlights of the 3 tiered program.
RBC Professional Trading Group:
Alpha: Fully financed by RBC. Full time deidicated trade operations group.
Beta: All the advantages of the Omega tier plus the opportunity for institutional financing rates and enhanced leverage.
Omega: Optimized leverage for your trading dollar. Competitive commission rates.
Anyway, didn't want to have any misunderstandings. These are good people.
Good luck with your trading position!
Don
Their traders don't put up a deposit like yours. Firm takes 100% risk. You are differentiating yourselves and then associating at ur convenience.
edit: In their Alpha desk.
edit: In their Alpha desk.
Quote from Don Bright:
LOL, we have traders who use $millions overnight, mostly hedged, but some directional players. I have a call in to my friend at RBC just to chat, but I'll ask which of the 3 trading models we're talking about here (I think there was 3 models when I met with him in August).
As I've said before on the board, I have respect for what Ron Shear built with Generic/Carlin, as well as those whom I met with at the RBC party in New York in August. I have sent traders there over the years, and they have sent traders here.
I count them with the "Good Guys." And, whatever the "deal" might be, associating with a good firm is a valuable experience, especially for a young trader.
BTW, there are many ways to make $20,000/month...and we have never really been a "daytrading" Firm as many are. Our people can and do trade short term, mid term, and longer term.
All the best,
Don
Quote from Tracy McGreedy:
Their traders don't put up a deposit like yours. Firm takes 100% risk. You are differentiating yourselves and then associating at ur convenience.
See my edited post, it explains which are backed and which put up money. For a decade or more we had very similar business models, and with RBC acquiring Generic, they offer other options.
I prefer to associate with all the people in our Industry, after all, traders make up a very small portion of the population, LOL.
Anyway, I certainly don't mind putting up a "plug" for a good group like RBC.
All the best,
Don