Quote from Lucias:
Michael,
I appreciate that you've taken the time to answer my questions. However, your answer raises a lot of other questions. It is my understanding you've had a large number of recruits pass the combines. If you don't have 12 traders who've cleared at least 30k then doesn't that suggest that you may not be giving those traders the "tools" needed to reach consistent success? Your minimum combine requires 4k to pass. You've been around for over 2 years. By what metric are you judging that you're producing successful traders? Because it seems to me that you are not.
I think the problem is that your recruits have unrealistic goals and not enough capital. At the minimum level, you're only funding at $1,000 but your giving those recruits a $500 max risk limit. I think the honest thing to do would be to raise that risk limit to something reasonable, like $4,000 or to reduce the max risk limit to something like $125-$150. You've create an impression of a much higher funding level on your website for the entry fee then you actually deliver. For example, most people would not expect their daily risk limit to be 50% of their total risk capital, one would expect that to be in the 4x-8x range. Likewise, you suggest that you're funded at 30k but you only can have a 1k dd on 30k or 3%. I don't think any trader would anticipate that if he were funding with a 30k account that he'd only be able to risk 3% before being cut. A 30% risk on the capital would be $9,000 and that would be realistic.
Also, I'm one of the few traders who might both be able to pass the combine and produce consistent profits for you. The problem is that you don't offer enough risk capital to make it worthwhile. I only need to do 1/4th what your target goal is in the live markets to produce the same return. At the lowest tier level, the trader is only really receiving $825 in non risk funding because they put up almost $200 at risk.
How do you plan to address these inadequacies? What do you say the trader who says, you know what if I can find just $800 bucks to laying around then I keep 100% profits for myself and don't need to meet any objectives? Again, I strongly suggest you raise the risk capital to the monthly profit objective or at least 5x the max risk limit if you are serious about producing traders versus generating combine fees.
