*What is Prop Trading?
Prop trading refers to a financial firm that trades financial instruments (like stocks, bonds, commodities, or currencies) using its own capital. Prop traders directly bear the outcomes of their trades, taking on both the risk and the reward themselves.
* What is a Prop Trading Firm?
A prop trading firm uses its own capital to trade financial assets, such as stocks, bonds, derivatives, currencies, and commodities, with the goal of making direct profits. Unlike traditional financial institutions or brokers that primarily trade on behalf of clients, prop trading firms operate exclusively for their own benefit.
*Why People join Prop trading firms?
i . Compensation is performance-based, rewarding individual results.
ii. Traders don’t use their own money — you as firm bears the profit and loss of your money.
iii. You only have access to cutting-edge technology and tools for trading.
