How to be a professional trader at the top prop trading firm

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Moneymagpie Team
03 April 2022I’m sure you want to be a prop trader because you realise what a great opportunity it is and what a rewarding career it can offer… but you realised like many you do not know quite a few things. Like how toTo become a Prop Trader, what does it take to be a successful prop trading company?!Let’s go systematically, if you are researching how toTo make you a good prop trader, it is assumed that your knowledge of prop trading is less than someone who’s looking for one. First a prop trader trades other company’s money in the financial market, the other company’s money that retail traders trade tend to be a prop trading firm.

Are there any qualifications I need?

Answering the question you have probably been asking yourself is “No, Prop traders need no qualifications.” Find out how toTrade and you will be successful. You must be able to understand your trading psychology and emotion, as well as have an effective trading system. These are all aspects that can be controlled. The other aspect is prop trading firms. Every prop trading company has its own set of requirements. Some will be easier than others, it comes down to compatibility and if your trading style, your plan, and psychology, works well with the prop firm’s trading rules in other words how they manage risk.

What’s The Process?

While they are related, there are two distinct processes to becoming a trader in props. Don’t worry though, it is possible to be a professional prop trader. It isn’t like the pre 2010s where you would have to live close to a financial hub, ideally a trading hub, or anywhere close to a group of wealthy investors. These days, prop trading companies are located far away so you don’t have to pay high travel fees or incur extra costs. This is the article about how toNow, become a Prop Trader how toYou can become a trader free of charge. Although the process has changed significantly, you still need to know about fees. They are granted full funding if they satisfy the passing criteria. It is possible to have a short evaluation. Profit share in prop trading firms varies from 50-70%. Not all prop trading firms offer the same scaling plans. Direct Funding: this is an option available for prop traders that do not want to go through the evaluation period and want to dive right into the prop trading firm’s funding hence it is called “Direct Funding”. The fees for Direct Funding are more expensive due to skipping the evaluation. Some would argue that the money they’d have spent on an evaluation would be better used if it was funded. If you are looking at this “how to become a prop trader” brief, do choose this option unless you are very confident in your trading strategy. Prop trading companies expect traders complete challenges such as earning 10% in 30 working days. Although this is a popular way to make quick cash, statistically speaking traders who choose it will be severely disappointed. For perspective, 20% of the top traders earn this amount each year. Institutions are also included. They encourage bad behaviours. Monthly: a rip off in day’s world. This is worse than old desk fees from prop trading firms. They will continue to charge you for access to your accounts. A 50-50 split of the profits is not fair when you take into account the monthly fees.


The final answer is “YES!” how to become a prop trader is to keep in mind the advice in this article, and if you require assistance consider a prop trading firm willing to support your development.Disclaimer: MoneyMagpie is not a licensed financial advisor and therefore information found here including opinions, commentary, suggestions or strategies are for informational, entertainment or educational purposes only. These opinions and strategies should not be construed as financial advice. Anybody thinking about investing in the future should do their research.

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