Proprietary Trading (also Prop Trading)companies offer market players to trade with private funds. Unfortunately, due to the popularization of Forex, hundreds of fraudulent organizations that lure traders and then empty their accounts have become more active worldwide. Thus, when planning to become part of a trading firm to manage private funds, it is important to find out how reliable a particular company is.
The reality is that many talented traders who really “feel the market” and improve their trading algorithms on a daily basis do not have enough capital to increase it quickly. Given that trading is a high-risk activity, borrowing money is extremely irrational and reckless. As a result, talented Forex traders are doomed to increase their funds slowly since they cannot “trade big”. That is why many enthusiasts seek to get into Proprietary Trading. The solution has several advantages:
As you can see, companies in the Proprietary Trading industry do offer very favorable conditions for the development of promising traders but at the same time, they have high expectations of each potential trader on the platform. Strict evaluation criteria allow them to select only the best traders who guarantee the firm a risk-free income. The prop trading firm operates in such a way that the most pessimistic outcome is no profit or breaking even. Managing talented traders, the company rapidly increases its passive income, which exceeds the funds invested by many times.
World-famous FTMO is one of the safest firms in the Proprietary Trading industry. It offers incredibly favorable working conditions, allowing the majority of talented and promising traders to fulfill their dreams and finally prove themselves at work.
The trading company financially provides for its partners for trading in Forex. It is worth noting that prop trading companies do not use their client’s investments or practice trust management. The legal entities use their own capital for funding.
An undoubted advantage of FTMO is the presence of a scaling plan, which opens up unlimited opportunities for any partner. In other words, the partnership between the company and traders will constantly develop: the more successful an expert the more money he or she earns.