Q: Is a proprietary trading firm right for me?
A: If you are an active trader with over $5,000 in your account, it is to your benefit to join a prop firm. The firm will greatly reduce your commission costs and provide a host additional benefits.
Q: How will my trading performance benefit from joining a proprietary trading firm?
A: Access to a professional platform, hot keys, leverage for intraday trading, and ability to view both Option and Equity professional Level II's will enhance trading performance. Additionally, access to the leadership and skill-sets of head traders will provide invaluable real-world educational experience.
Q: How does it differ from my retail account?
A: Traders who set up accounts with proprietary trading firms are committing to take their trading to the next level. They are provided access to substantially more buying power with no Pattern Day Trading (PDT) restrictions, direct access to the stock exchanges, and significantly lower commission rates, among other advantages.
Q: What will my risk parameters be?
A: Risk parameters are determined on a case by case basis based on trading experience, risk deposit, and consistency of trading performance.
Q: What is the minimum dollar amount to open an account?
A: There is a $5,000 minimum risk deposit to open an account.
Q: What is a “risk deposit”?
A: Traders working in proprietary trading firm will trade using funds provided by the proprietary trading firm. In order for the firm to allow traders to utilize their capital, traders must agree to bear losses from the trades they make. To secure the obligation for such losses, and secure the professional services of the firm, a trader must provide a minimum risk deposit.
When traders place trades, they are risking both their own risk deposit as well as firm capital.
Q: What is the minimum balance for a trader's account?
A: There are no restrictions. However, once a trader’s equity gets to $1,000 or below, the proprietary trading firm will take the necessary steps to manage firm’s risk.
Q: What are some of the steps that the firm will take if my account goes below $1,000?
A: In the event that your account dips below $1,000, all trade activity within your account will cease immediately. If you have open trades they may be closed on your behalf to limit the risk exposure of remaining trades. At this point the firm will contact you and look for you to bring your risk deposit back up to the initial amount of $5,000.
Please contact us with any additional questions.
A: If you are an active trader with over $5,000 in your account, it is to your benefit to join a prop firm. The firm will greatly reduce your commission costs and provide a host additional benefits.
Q: How will my trading performance benefit from joining a proprietary trading firm?
A: Access to a professional platform, hot keys, leverage for intraday trading, and ability to view both Option and Equity professional Level II's will enhance trading performance. Additionally, access to the leadership and skill-sets of head traders will provide invaluable real-world educational experience.
Q: How does it differ from my retail account?
A: Traders who set up accounts with proprietary trading firms are committing to take their trading to the next level. They are provided access to substantially more buying power with no Pattern Day Trading (PDT) restrictions, direct access to the stock exchanges, and significantly lower commission rates, among other advantages.
Q: What will my risk parameters be?
A: Risk parameters are determined on a case by case basis based on trading experience, risk deposit, and consistency of trading performance.
Q: What is the minimum dollar amount to open an account?
A: There is a $5,000 minimum risk deposit to open an account.
Q: What is a “risk deposit”?
A: Traders working in proprietary trading firm will trade using funds provided by the proprietary trading firm. In order for the firm to allow traders to utilize their capital, traders must agree to bear losses from the trades they make. To secure the obligation for such losses, and secure the professional services of the firm, a trader must provide a minimum risk deposit.
When traders place trades, they are risking both their own risk deposit as well as firm capital.
Q: What is the minimum balance for a trader's account?
A: There are no restrictions. However, once a trader’s equity gets to $1,000 or below, the proprietary trading firm will take the necessary steps to manage firm’s risk.
Q: What are some of the steps that the firm will take if my account goes below $1,000?
A: In the event that your account dips below $1,000, all trade activity within your account will cease immediately. If you have open trades they may be closed on your behalf to limit the risk exposure of remaining trades. At this point the firm will contact you and look for you to bring your risk deposit back up to the initial amount of $5,000.
Please contact us with any additional questions.
