What do I gain at a Prop Shop?

N

nravo

I have portfolio margin at IB. I trade options, futures, forex and stocks and some foreign stocks. Is there any reason to go prop? And to make things worse, I live most of the year in Boca Raton, the financial scam capital of the world.
 
Thanks for the threads, but I guess the fundamental quandary or question is this: Are prop firms simply stock traders and this the obsession with 4 versus 15 or whatever times intraday margin is only about stocks. I mean if you trade futures or Forex, even retail, you have margin out the Wazoo built-in. So, bottom line: If you have no-stock trading interests, or they are a small part of your trading, prop shops prima facie are not the place to be. True?
 
Yes i would agree with you on that. A Prop Firm is usually a Firm that trades in Equities Extending Leverage to us little guys. If you trade Equities as a retail account you need to tie up $50K of your $$$ to have sufficent BP. At a Prop Firm you could only put up $5-$10K
 
So what do retail futures, forex, options traders do when they want to step up to a system that might be a bridge to going pro? No prop shop system for them? Their only recourse to set up their own incubator fund or small CTA with their own capital?
 
Quote from wiesman02:

Then again, you're not getting a 100% payout right ? Don't most props charge 20% or more off the top ?
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If you have money up at a prop firm you should be getting 100% payout.

If not, you're getting ripped off.
 
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