Experiences with FCT

[tommog]

Hi all,

I have recently broken through the first door on the road to a trading career. My initial application to FCT has been accepted and am waiting to hear further details of starting their training.
However i was wondering if anyone has had experiences with this company, from initial contact the proceedure seems to be; on completion of an initial 3 month training period i will be hired as a financially backed trader within their firm, however i am expected to fund this training out of my own pocket, I was wondering if this normal?

I am desperate to make it as a trader within a firm but i havent been having too much success, this really is a light at the end of a tunnel, maybe i'm just a natural skeptic but paying for your own training seems like a good way to rip off ambitious young traders, i am 22 years old and purely from a financial point of view can't afford to put money into something a little shady.

I'd very much like it if some more experienced traders could pass on their advice,

Many thanks,

Tom

 

[tommog]

oh and "fct.com" is their website if you wanted to look into them further

 

[mikeyk]

Tommog,

I'd think very carefully about the oppurtunity. You might want to consider waiting for another oppurtunity with another firm where you dont have to pay your training costs. You could then use your savings etc to help with living expenses which will help you greatly.

Dont want to seem as though i'm pi**ing on your bombfire, but i can tell this means a lot to you.

Go for it if you want, it might work out brriliantly but it might not. Just give it lots of thought cos in reallity only you can make the decision. It might sound like stupidity but i find having a few drinks helps clear my mind and see the right choice.

 

[Directional]

Hmm.. how much is the training going to cost you?

I've not really heard of firms asking you to pay for training before they hire you... anyone else know if thats common? what you really DONT want to happen is to pay for your training and then NOT get backing as a funded trader. If you like the firm, then thats certainly something you could ask about in your next interview.

as mikeyk says, keeping your funds available to support you for your first year is going to be a central concern.

If you havent already been through the directory of arcades in the traderpedia, take a look as there is no shortage of arcades out there

 

[charliechan]

dont pay them for your training.

if they were to invest in you, then they would have more reason to do their best to make sure you are a success and return their investment.

if you invest in them, then they dont have any commitment to you. you are just a customer, not one of them. if you lose, they are still quids in.

a lot of their economic training is probably no different from standard economic text books offer anyway - little use to a short term trader.

id save your money and time. if they wont invest in you, then dont you invest in them. its a business deal here and should be a 2 way street. both should benefit.

a skint trader isnt a happy trader and wont trade well if he has financial burdens round his neck and has to worry where the next rent cheque is coming from.

most good arcades will offer a very small salary to the trainee, and some training which you dont have to pay for. they usually dont want you to have any experience/preconceptions though, so keep quiet about any experience, but obviously play the keen interest and knowledge line pretty hard. there are also loads of execution only broker roles too - low level stuff, but you aint being taken up the ****** and can learn. could also be a good stepping stone for an arcade position or even better, a trainee role in a prop firm/bank.

 

[jondoe]

Charliechan is right, don't pay them a penny you are much better of looking elsewhere for a company who will invest in you. Get in contact with the other arcades most of them run a training programme and will take a split of your profits once you go live; thats how they make their money back from investing in you, not by charging you from the outset.

Good luck

 

[tommog]

Thanks everyone for your advice,

The reason i am so eager to take this position is because i don't have a degree, i left an economics degree in year 2 when i was hired as a broker at an oil broking firm. I thought at the time this would be a good route into trading through the back door, and i was impatient and wanted to start earning. But because i didn't complete the degree i feel my c.v is ending up on the scrap-heap at a lot of firms because they seem to be very blinkered as to what their ideal candidates are. This firm appealed to me greatly because they make a point of saying that degrees aren't important to a trader, it is more hard work, ambition and tenacity that appeals to them. I think it was these qualities that made them interested in me. So if i dont take this role i don't know if i will get any other chances. I will let you know when i get some figures regarding training costs.

Cheers

Tom

 

[PualoP]

Hi Tommog,

I know a little about this firm as I went through the whole graduate application process. The graduate scheme was the traditional 'graduate job' type thing. If you got on to this then they provide you with a salary, train you (for free) and provide capital for trading.

What I think you have got a place on (and correct me if I'm wrong) is the 'Executive Training Course'. This is somewhat different from the grad scheme and is not an offer of a trading position. It is what it is, i.e a training COURSE. They will teach you pretty much how to set-up your own 'one-man band' trading arcade and tell you of the advantages of using FCT for your back office and clearing needs. In all, it's more of a sales pitch aimed at someone looking to start-up a business. Could be very worthwhile if you were an experienced trader looking to start a professional arcade but not sure if it's the right place for some one just starting out.

 

[tommog]

HI PualoP,

That does sound pretty similar actually to what is on offer, thanks for getting in touch, however i was told i would be hired at the end of it, i think some further investigation is required...
Thanks

Tom

 

[tommog]

By the way i found out the training would cost 5 grand, it has a 50% failure rate and if i failed i would only get 2k back!!! Don't really fancy it to be honest, worst case scenario i'm back at square one 3k poorer, best case scenario, i hope i'm a profitable trader, and if i am, split my profits with the company (as well as paying desk fees). Maybe my expectations are too high but that doesn't seem a good deal, not when 5k is a substantial amount for me to risk

 

[SHarrison]

Hi Tom,

This sounds a little bit of a risk to me, chancing over half of your money on a training programme that does not guarantee you a job?!? ive been at an arcade for just over a year now and am just starting to see the rewards so maybe your training course will not give you enough time to either learn the ropes or prove yourself as a trader to gain a position.

the firm that im with is called trading connections (www.tradingconnections.co.uk) and although their costs could be cheaper in light of recent cuts from mac and trading alliance, they give a good start to a trading career in terms of training and support for their graduates.

also, although i have a degree, they do not require it and quite a few of the guys here do not have degrees so that may not be a problem.

i get nothing for promoting this arcade and will quite possibly look elsewhere once my 2 year contract is up next year to get cheaper costs and be closer to the city but i believe they may be looking soon for grads starting in january.

otherwise, a lot of the arcades offer a similar programme to the one that i am on, ie mac, schneiders etc and you pay nothing for training, although i think with these you are taught to trade and given a simulator from which, say, 100 people get eliminated down to 10 people. the reason that i chose where i am is that there is less of a revolving door than some of the bigger arcades so you get to know everyone better and the atmosphere is such that there is always someone that will help you, regardless of their backing.

all the best

 

[tommog]

SHarrison,

Many thanks for the suggested firm, this is a company that i haven't bombarded with my details yet, but thats about to change.

Thanks again,
Tom

 

[Directional]

I've been to Trading Connections and met Jonny, Ray and a few of the guys up there.

I wasnt successful in getting a place there, but I am of the opinion that TC would be a great place to learn and to trade. They have a nice setup and a good atmosphere, and I believe they would have a genuine interest in helping you succeed - with a *fair* deal that benefits you and the firm.

If you dont know what you're doing, or what constitutes a fair deal some arcades will charge you fee's or commissions under an extra lengthy contract that make it very difficult for you to really make a big success of pro trading.

 

[charliechan]

dont worry about the degree too much. some places ask for one, but others (esp those who understand about trading) refco/mac dont for example. you may not be able to get into a bank without a degree - but banks dont produce the best traders anyhow. the best traders work for themselves, no one else.

as for your desire to get into the business, consider this....

most newbie traders with their accounts open cant wait to make their first trade. this condition persists and they take a lot of stupid moves that build up and wear the account down until they learn to be selective.

pros take their time and only enter when conditions are right. this is why they win.

treat your career like the pro treats a trade. take your time finding an opportunity that is right for you and has your name on it. dont take the first thing that comes by in eagerness to get in the market - probably wont work out .

 

[tommog]

Thanks again for everybody's input, its really helpful,

I was wondering if you have any suggestions what i could do with myself whilst i job hunt trying to get a job as trainee trader. I suppose it isn't really advisable to get a job outside "the industry" as it seems pretty important to make sure your c.v is geared towards your interest in the markets. Would you say its vital that i work in operations, or some other role distantly related to trading?

 

[gedward3]

Hi Guys. Ive also been through the course and passed and was told i could start the July 05 course but i put it off till Sept. They way ive been told it works is that you need to deposit £5k which goes into your own trading account and you are trained for 3 intensive months free of charge. They envisage that if you pick it up quick enough you can start trading your own account in little trades by the second month and then up your trades in the 3rd month if you are doing well. I spoke to a guy who was just getting backed by FCT in his 2nd month with £50k as he was trading very well. (He was previously a Chartered Financial Analyst with a big bank before but said he didnt get involved with trading only number crunching.)
Im debating whether to take my position for various reasons
1: What if i lose my £5k i put in my account through bad trading.
2: FCT from what i know just trade the spreads on various bonds.
3: You are taught how to trade their system which they have developed. (If you leave after a few months will the knowledge be of any use to you as you cant take their PC Programmed system with you)
4: You have to cover your own expenses for the training period till you can earn enough money.

Anyway hope this helped you out. If you are still going ahead and want some pointers on what the test is like pm me and i explain more