Interested in getting some professional insights.
1. What type of returns do prop firms consider good prior to funding you?
2. how do they verify your returns are legitimate?
For example:
Date - 2023
YTD - 15%
Max DD - 10%
Sharpe - 0.82%
The above example is purely for illustrative purposes, but do they look at those metrics, and if so what do they consider good?
Thanks!
Serious answer. They want to see that you can control risk and have positive expectancy with low variance. Risk-adjusted return needs to be reasonable, but their criteria for reasonable depends on their agenda (aggressive, growth, etc.). 1 year of good trading isn't unreasonable if you're new to the game and show them that you know what you're doing and can be worth spending a little time and money on to further flourish your skills.
A lot of online options are available now, but there aren't the firms you're thinking of. At least it's something to get started on.
Apteros Trading offers tryouts to sit on their live prop desk, so that may be your most time-efficient option, or at the very least the option if you don't have a decent history of successful trading. You can use them initially and then have an exit-strategy for another firm. You can try out for 2 months (pay about $600) and then they scale you to account size relative to your skills, and you could realistically be looking at managing multiple MM relatively quickly.
https://www.apterostrading.com/
Not affiliated with them in any way, but know someone who went through the process successfully. Same with the company listed below:
TopStep
www.topstep.com
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