Alex Borzak
As a rule, all successful business models developed and used in the west for the first time are soon implemented in the post-soviet space. An illustrative example - such social networks as VKontakte and Odnoklassniki, internet trading in the stock market and forex and many other things.
For some reason, however, innovators have ignored such an interesting trader and company interaction model as proprietary trading or prop trading. It offers unique opportunities for successful traders and is an advantage for a prop company. What is it about?
Prop trading offers the trader an opportunity to trade with the prop company's assets. Risks, however, are limited to the trader's own account.
Let's look at a specific example of how this happens.
The traders deposits 10,000 dollars of his or her own funds. The prop company adds 90,000 dollars and, as a result, the trader can trade an amount of 100,000 dollars. However, the equity drawdown cannot exceed the size of the trader's own account, i.e. 10,000 dollars.
Profits generated by trading are shared in agreed proportions, for example, 50:50. In addition, a larger commission is introduced and shared by the broker and the prop company not infrequently.
Operation of this scheme results for a trader in an opportunity to make profits from trading on the account size several times that of their own funds, while their risks are limited only to their own account. The prop company is able to invest funds risk-free in that it has a share in the profits when the trader trades successfully or does not have profits when they fail.
The main condition for prop trading involves a real broker that covers client's trades because a successful trader who trades funds a few times exceeding their own account can ruin any bucket shop in a matter of days. This is probably why the prop trading model has not emerged in the post-soviet space yet.
Now this service is offered by an offshore company, Tarika Business Corp, on the platform of Forex Trend, an ECN broker, known for its innovative products (for example, PAMM 2.0 that allows sharing not only profits, but also risks between the investor and the trader). This broker won popularity through high quality of execution of its clients' orders and favorable trading conditions.
To have an account assigned for prop trading, the candidate needs to submit a request through the company's site, including his or her history of trading. Requests are reviewed within three days. Documents that regulate this scheme of operation are here: http://fx-prop.com/docs
The Prop Trading project is coordinated by Oleg Polishevich, CEO of Forex Trend.
According to information posted on the company's site, it is prepared for cooperation with all brokers that meet certain conditions: http://fx-prop.com/broker
Therefore, by using the prop trading system, successful traders can get profits from trading the funds that exceed their own account tenfold.
This is a chance for those who trade consistently and confidently. We wish you the ability to successfully use this chance.
Alex Borzak
