100% commission based compensation for a junior trader?

LPoulin133 Wrote:
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> Can we stop calling it commission and say ‘100%
> from P/L’ or ‘paid only from profit’?
>
> Philip - It was my understanding he gets paid 100%
> from the profits (I.e. 30% of profits) and not
> paid 100% of the profits. Maybe MattLikesAnalysis
> can comment on the payout scales?
>
> If you are getting paid 100% of the profits, then
> good for you (maybe).
oh ok yeah you are completely right … I was thinking the company would take a loss on the person
would make more sense if he kept all the profits after operating expenses as stated above
 
kblade Wrote:
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> if he’s going to take home 100% of the profits,
> what is the firm going to get out of this? How is
> the firm going to pay for the trading platform,
> office rent, etc.
Commissions, desk fees, data fees, etc.
 
what happens is that if your balance at month end is negative, this gets carried over to the next month and is your obstacle to surpass if you want to make anything next month. if you are overall profitable in a month with no outstanding amounts owed for previous months, then that is split in half and they will also then take system fees out as it costs them north of $300 for your trading platform and other services during the month. our monthly fees were $120 for the trader each month but they did not start charging this amount until you become profitable which is nice enough.
the major reason why they do not pay you any salary whatsoever is because 90% of traders will never be profitable in the long-run. remember this stat and incorporate it into your decision.
they say that you should be an above average poker and video game player to be good at this and I agree fully. you need to be able to gamble, but know when you’re beat and know when to stop and to never wait for the river when you know the odds are stacked too high against you. its all about the ability to take small losses consistently while not hoping to make millions on a single trade. its a very difficult field and although it was one of the best experiences i’ve ever had, it was EXTREMELY stressful, especially considering I was living on borrowed money and no other opportunities elsewhere.
if you feel nervous going into the CFA exam, you will not be able to be a successful trader. you’re born a trader.
 
MattLikesAnalysis Wrote:
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> if you feel nervous going into the CFA exam, you
> will not be able to be a successful trader. you’re
> born a trader.
Richard Dennis
 
Do any of you guys know anything about being a remote trader for a prop firm? Does that qualify as work experience toward the charter? Does anybody have any insights into whether this is a good position to pursue?
 
So basically you’re asking what the deal with daytrading your own money, at home, on your own computer, while paying the company a % of your profits is? Whatever cut that company is taking from you, I’ll cut it in half if you trade through Limo Driver Capital LLC and I’ll provide the exact same service (none) or better (call you once a day with an “atta boy” or “go get ‘em tiger”).
 
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