I'll take the other side of this, Flashy.
I think there might be an edge, and the proposers are merely using the desk-fees as a means of paying for the set-up, and getting themselves a free desk.
As opposed to going to a hedge fund and getting them to fund the operation based on past performance?
This explanation makes little sense.
As I mentioned before, I know a guy that was given 100k from a fund & he'd never placed a trade.
Shame he put it into a new account at MF Global 5 days before it went t!ts up, really.
There's tons & tons of $$$$ out there. Sure - a fund will expect their pint of blood & they will pi$$ & moan when you have an off day but it sure beats giving your edge away for 500 quid a month.