SAVIUS a new prop firm looking for traders and...your comments

SAVIUS

Junior member
26 1
Hey Luidin,
I respect your opinion for sure, as it is expressed with coherence but I disagree.

First of all, just to clarify on this point: traders do not need to trade accoding to our strategy qnd signals, they can trade the way they like as long as they respect risk parameters.

Secondly, the "extra services" (tools, course, risk management) are there as we realized observing the Challenge results someone might have needed them ( they were not there before). I believe they are quite cheap and considering that we are not really marketing them we do not expect to make huge amount of money selling them, as much as we strongly believe in the contents we offer.
It s just an option available for those who feel they need it, but we are not educators.

I agree with you: a consistenly profitable trader will not be hooked up from what I hqve to offer .
But he/she is not our target in first place , they do not need my company. As you say there are better options for those who have skills and capital and only need to leverage up, right? .
Our target is the guy who has potential but can't afford to put down the 5k at risk to see if he can live out of it. It may sound weird but for a lot of people out there are fighting for little amount of money. Some of our traders asked us to be paid even 40/50 USD profit share at the end of the month.
There is also another category of candidates, those who have money, but with their account they keep doing the same mistakes again and again: build up the equity and then burn the account in a session. I think we are a good fit for them too: they need a structure.
Same for those who have capital, potential , but little experience...

Agree again with you that I ll have to change a few things but I think my company is quite different from many others .
As couple of members rightly pointed out I m navigating on the border of abusing of the forum rules , so I d rather not insist in defending my reasons.
So let s try to keep the discussion on a more neutral ground and see if maybe we can share general ideas that could be useful to everyone.
You said I have no control...
I have control on the part I am mostly interested:risk. At the same time you made me think about a crazy idea ( so basically it s all your fault now) , so let s see what people thinks of that.

Suppose that I propose to those who pass the Challenge to trade on the Sim for a month, and pay them a fixed amount to do it, independently from their results ( positive or negative a the end of the month).
If at the end of this month they are positive, they ll keep going on the sim but I ll pay them 20%(?) of the eventual profit produced.
I do I make money? I ll build an algo to apply filters to those signals and replicate the good ones on a real account.
I can then select they really good ones and base myself on a more reliable real time direct observation and I could offer them a bigger account with more leverage and risk tolerance.

Before you slaughter me, on my defense, I went massive on Chianti tonight...
I wish you all a good and relaxing sunday .:)
 

Lúidín

Established member
818 61
Hey Luidin,
I respect your opinion for sure, as it is expressed with coherence but I disagree.

First of all, just to clarify on this point: traders do not need to trade accoding to our strategy qnd signals, they can trade the way they like as long as they respect risk parameters.

Secondly, the "extra services" (tools, course, risk management) are there as we realized observing the Challenge results someone might have needed them ( they were not there before). I believe they are quite cheap and considering that we are not really marketing them we do not expect to make huge amount of money selling them, as much as we strongly believe in the contents we offer.
It s just an option available for those who feel they need it, but we are not educators.

I agree with you: a consistenly profitable trader will not be hooked up from what I hqve to offer .
But he/she is not our target in first place , they do not need my company. As you say there are better options for those who have skills and capital and only need to leverage up, right? .
Our target is the guy who has potential but can't afford to put down the 5k at risk to see if he can live out of it. It may sound weird but for a lot of people out there are fighting for little amount of money. Some of our traders asked us to be paid even 40/50 USD profit share at the end of the month.
There is also another category of candidates, those who have money, but with their account they keep doing the same mistakes again and again: build up the equity and then burn the account in a session. I think we are a good fit for them too: they need a structure.
Same for those who have capital, potential , but little experience...

Agree again with you that I ll have to change a few things but I think my company is quite different from many others .
As couple of members rightly pointed out I m navigating on the border of abusing of the forum rules , so I d rather not insist in defending my reasons.
So let s try to keep the discussion on a more neutral ground and see if maybe we can share general ideas that could be useful to everyone.
You said I have no control...
I have control on the part I am mostly interested:risk. At the same time you made me think about a crazy idea ( so basically it s all your fault now) , so let s see what people thinks of that.

Suppose that I propose to those who pass the Challenge to trade on the Sim for a month, and pay them a fixed amount to do it, independently from their results ( positive or negative a the end of the month).
If at the end of this month they are positive, they ll keep going on the sim but I ll pay them 20%(?) of the eventual profit produced.
I do I make money? I ll build an algo to apply filters to those signals and replicate the good ones on a real account.
I can then select they really good ones and base myself on a more reliable real time direct observation and I could offer them a bigger account with more leverage and risk tolerance.

Before you slaughter me, on my defense, I went massive on Chianti tonight...
I wish you all a good and relaxing sunday .:)

Don't get me wrong, I am not cutting you down, as I respect anyone who tries to make money, by whatever means.

It is good that you do not insist on using your strategy or indicators, and I will say your broker as well, but you will need to clarify that?

I have another option for you to consider as follows, which will be targeted at traders with some experience, for they are the ones you really want, as newbies will take years to develop the mental attitude that is required to trade effectively.

1. Provide standard leverage for Pattern Rule ($25k), plus $5K buffer. This gives the trader $120K buying power.

2. Set you risk management software (which I assume you have) to a maximum risk per trade of 0.25% of $100,000 (ignore $5k buffer in calculation of available trading capital), to give a max risk per trade of $250. It is up to the trader to set up his trade based on the set max risk parameters, if he is not able then he is not serious about trading and will more than likely blow out quickly, which is what you don't want in the first place.

3. Set your daily loss limit to $250 for the trader - yes, 1 trade at max risk, which the trader should not be hitting with 1 trade.

4. The trader pays you $1,000, and you lodge this to a segregated account with your broker - this is where you must strike a deal with the best brokers based on what market the trader wants to trade.

5. You take 10% commission for each $1,000 lodged by the trader.

6. You take 20% of profits that trader makes on a monthly basis.

Summary:

No risk to you.
10% commission to you on each $1k lodged by trader to cover admin costs.
20% commission to you on trader profits.
Trader has access to $130K buying power.
Trader has to be profitable for 6 months before additional leverage is considered.
Additional leverage for trader will require additional payment into segregated account by trader -say $500 for every $25K, and again you get 10% commission on all payments by trader to cover admin costs.

This would be an idea to attract some experienced traders, with whom you do not have to worry about risk management or trading strategies. You will only be providing a safe and legal means to access a leveraged account, with no risk to you at any time, and a good return on trader profits.

What do you think of something along these lines, do you think it would be feasible?

Lúidín
 
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SAVIUS

Junior member
26 1
Ciao Luidin,
and first of all let me congratulate with you and all Ireland for the fantastic McGregor win last night. I guess there was a lot of celebration after the macth for this incredible Irish champion.
I have to digest a bit what you wrote and run some calculations.
Let s say that as a first reaction this model requires a different type of license, as soon as you start receiving other people' s money, things get a lot more complex.
It s a bit more capital intensive as well as would need a bit more sofistication in back office and risk management control , software, etc
I ll have to run the numbers, but it looks similar to the other prop models out there. And how will I select the traders to allocate that extended risk? Still using the Challenge?
It s quite a complex subject for sure
 

NVP

Legendary member
37,754 2,099
is it January yet ?.....
 
 
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