u/IKnowMeNotYou

We all know some bad examples and stories, when it comes to prop firms.

I was in the prop-firms-are-no-good camp as well and believed, that one should trade his/her own money and if one uses prop-firm accounts, one should transition to using one's own money as soon as possible.

What I was especially not aware of, serious prop firms (including those with challenge accounts) will increase the account size and improve the profit split over time, once the trader has a proven track record of making good money responsibly.

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I have investigated a prop firm recently which provides a 70:30 profit split up front and found a ton of fuckery when it comes to display price, fill prices, applying spread, time delay, volume etc. - at least that was my impression... but I was still able to hold a profit factor of 4 for 6 weeks (I only checked it out for 8 weeks tops), so it is/was doable to make good money using the clunky UI. I continued to used the additional time for some more reckless testing (scalping stuff, checking fills, looking into other issues) and also my goal was to wreck the account rather than getting approved.

Later (recently) I learned from some people, who use this prop firm, that they run on a 90:10 profit split with an account size that is not available for purchase (and is rediculous high compared to the standard offerings by having a available buying power above 1M) and do so for quite some years now.

I asked them why they stick with the prop firm and they basically answered similarly. They pointed out that trading someone else's money is not as emotional taxing as their maximum risk is just blowing the account and burning their relationship with the prop-firm and that this is virtually impossible, if one remains within the boundaries of proper and responsibile trading practices.

They further told me that basically fear that using one's own money would alter their decision making process and that they for sure would need a longer time to adjust to the new conditions in which they most likely would lose out on earning opportunities.

Thinking about these resons makes a lot of sense to me, especially when I recall my own training days, when I was running an PDT conform Alpaca account along with the emotional stress I experienced when winning 2k in less than 15min and weeks later losing 2.5k on a dead easy trade due to having the clorious idea to practice scaling in along with SL tightening when I was already 700 ahead and if I would have not done the SL adjustment and scaling in, I would have had my biggest trade so far for 10k+.

Both these experiences made me go for a hike in the woods for multiple hours just so that I calmed down and the later experience put me back into paper trading mode for several weeks.

I would expect that me trading a funded account instead would not have derailed me that much for sure.

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Questions:

Does anyone have a long time relationship with one or more prop firms while trading manually?

What are the conditions (account size / buying power, profit split, etc)?

What are you trading?

What are you getting paid out as a monthly or yearly average?

Did you use the funded account during your training period as well?

I personally will not change but I was looking at funded accounts for my son's own training and now I wonder, if this is truely a long term prospect as the people I learned this from claim. I sadly do not know these people personally and just want to be sure that this was not a fishing operation. Basically I want to verify their claims with all of you and learn about more personal experiences.

Perma Intraday Bear?

About trading a funded account