Photo by MayoFi on Unsplash
Looking for a new way as a company to gain from forex? Do you know some talented professional traders but do not have the required capital to benefit from? If the answer is YES then have you ever though for traders to trade on company’s funds instead of their own? Do you know what is proprietary trading?
Proprietary Trading (Prop Trading) occurs when an institution or firm trades stocks, derivatives, bonds, commodities, or other financial instruments in its own account, using its own money instead of using clients’ money. This enables the firm to earn full profits from a trade rather than just the commission it receives from processing trades for clients. Banks and other financial institutions engage in this type of trade with the aim of making excess profits.
Although commonly viewed as risky, proprietary trading is often one of the most profitable operations. During the financial crisis of 2008, prop traders and hedge funds were among the firms that were scrutinized for causing the crisis. The Volcker rule, which has severely limited proprietary trading, was introduced to regulate how proprietary traders can operate. A major concern was avoiding possible conflicts of interest between the firm and its clients. Individual investors do not benefit from prop trading because the activity does not involve trades executed on behalf of clients.
Some firms took this concept to the next level. They use a registration for professional traders which after an evaluation are given funds from the company to trade. Profits are share and everybody wins. Examples of best practices can be found in our reports please contact us.
MaNeIDR provides you the opportunity to open such a investment company and start benefiting from limiting registration expenses, benefit from recommended IT infrastructure and profits both from spreads and income.
Our team of specialists can offer you our services on the below:
- Registration of firm (in case of new firm) Various options according to locations but recommended a country with low tax requirements.
- Preparation of a business plan to include:
- Scope, mission, vision
- Competition analysis
- marketing plans & promotion
- future developments
- financial figures
- MINIMUM TIME OFFER of acquiring MT4 & MT5 a discounted price
- Proposal for the implementation of the best IT infrastructure providers
- Build up a website for the promotion, explanation, sign in and login into crm
- Prepare the marketing and promotion of the Prop trading website, online and offline with proven track results
- Provide Training for customer support employees.
Comments