Personal Trading under another person's rules Good?

[tabas]

If you think that you can pass prop firm's test, then go for it because it means that you're a good one but it's not easy as it goes as there are conditions that you need meet and follow. I'll choose my own live account because the thing about it is, I am trading my own money and I feel obligated to improve myself with my money without having any that much conditions to follow for myself and if it doesn't work well for me, no need to stress with the bad results.

[Webutxo]

I'm don't know if this has been discussed here, but I'm quite curious and I will like to hear from active traders here.

Trading a live account and trading a propfirm which one is best, they both have their advantages and disadvantage, but I feel the best is live account in my POV simply because I don't want to make money under another person's rules, but I'm still open to get why people trade propfirm probably it might be better or not?. There are reasons why one will make a decision of wich one is best for him or her
So to you all which one do you prefer and why do you prefer it.

I will never allow any propfirm use my time and money for trading business. People that knows about propfirm very well knows that they are only good for business, they take money from people and gather thousands and pick few random people and even that few, maybe or two will make it, so why go with propfirm when you can use your account and become a better trader. I will prefer to use demo and practice than use these so called propfirm.

If it's $100 that you can afford as capital, use that money to fund your live account, do small plot size and get experience or go for demo and practice better before you touch the real money. You will not get big money in return on time but rest assure you will get good return based on your own capital and you will have rest of mind instead of chasing a particular profit which you can still lose in the process with a propfirm account.

[Royal Cap]

So to you all which one do you prefer and why do you prefer it.

It would not be right to compare a live account and a prop firm in the same way, because the purpose of both is different. In a prop firm you trade with other people's capital and follow their revenue share rules, while in a live account you have your own capital, your own decisions and your own risks.  For those who have trading skills but do not have enough capital, a prop firm can be a good opportunity. So I would say it totally depends on your current situation, one I would call my your business and the other I would call other's business manager.

[freedomgo]

I don't think both should be compared which is better or not, but it depends on the individual's preference to trade. If the trader has his own funds and is willing to take risk some amount, then he should choose live trading. But if only he can afford is the evaluation fee and pass the trading test, then he can proceed trading with prop firm.

Personally, I see bigger risk with live trading because you can lose your own life savings with failed trades, but with prop firm, you will only lose your entry fee which is very minimal. However, if your aim is to maximize your own trading skills and experience, elevate your winning potentials, then the best practice is through live trading and stay responsible by not losing your own funds.

[stadus]

If you don't have personal funds, yet you have the skills and working strategies that could gain you an edge in trading, then I don't see any reason why you won't stop yourself from prop firm trading. If you pass the trading test and end up with profitable trades, both will have a good split of profits. Just make sure you don't end up with a scam company, otherwise your time and hardwork will go into waste.

However, a lot still prefer to go with live trading and be a boss of their own. At least they can keep 100% of their profits, get rid of the evaluation fees, and they can have the absolute control if they want to take leverage with their proven trading strategies and techniques.

[justdimin]

I only know that you can minimize the risk if you use propfirm but I am not sure about that. You follow their terms, have a split profit with the company while you have less risk and that could be to those who can't trade well and worry if they will lose money if they trade by themselves.

But if you willing to learn trading and accept the risks while you can manage the risks, I think it is better to trade by a live account because your profit will goes to you fully.

You only need to care with the risks and knowing the decision you should make but maybe I am wrong.

First of all, it's not about minimizing the risks if you are using a propfirm account, because you are not using your own money or account but everything is provided by them, and you only trade with it. Second of all, those who can't trade well and worry that they are going to lose money if they do it on their own, they are also not going to able to do anything with a propfirm, because they will not even be able to pass the test to actually qualify for a real trading account that the firm will give them which will have actual funds and then the profits that the trader makes using that account will be split among them and the firm, but to reach that point, one needs to acquire excellent trading knowledge and skills.

And, even though it's true that one will get to keep all the profits they make if they trade using their own account, we need to understand that you might not have a capital good enough to earn you good profits, and a propfirm will give you an account with a high capital, which means you can make better profits with that, but again, as I sad, you will be tested, and you will need to be a very good trader to actually manage things very well using a propfirm account, otherwise, you will lose the opportunity.

[Asiska02]

Prop firm accounts teaches discipline of money that you can never get when you want to trade live account of your own. The rules there are to help you manage your funds, not to over trade and make decisions that will lead to loss of your capital. People dislike them because of their strict rules and percentage split of profits, but the advantage of using it is very worthwhile to look into. If you’re a trader that’s not financially stable to access big funds, prop firm is the best for you.

The nature of trading strategy some people use does not befits them using a prop firm to trade, such people will not want to limit themselves not to trade when they see an opportunity that will make them make money, so they don’t subscribe in to prop firm and control how they want to make their own money with their rules. Trading live accounts still needs discipline, you set it for yourself and try to stick to it because it’ll help you best.

[Byebyebtc]

I personally choose to trade my own account, and grow it bit by bit, but this is not the case of some individuals that want a good amount of capital to start,
But I personally choose to grow my account from small to getting bigger and bigger, lol not as easy as it sounds tho.
But the advantages of a live account surpassed that of propfirm. You will be able to withdraw when you like, no rules or what so ever, I think that's the real financial freedom 

[Alphakilo]

I don't think both should be compared which is better or not, but it depends on the individual's preference to trade. If the trader has his own funds and is willing to take risk some amount, then he should choose live trading. But if only he can afford is the evaluation fee and pass the trading test, then he can proceed trading with prop firm.

Personally, I see bigger risk with live trading because you can lose your own life savings with failed trades, but with prop firm, you will only lose your entry fee which is very minimal. However, if your aim is to maximize your own trading skills and experience, elevate your winning potentials, then the best practice is through live trading and stay responsible by not losing your own funds.

Both prop firm and live trading appeal to different needs, but it's dependent on the financial capacity of the trader, their confidence in the strategy they use and their risk tolerance.
Prop firm could provide the financing a trader needs to trade but they must have a good strategy or risk losing much more and that's why I prefer live trading where it is okay to trade with funds you can afford to lose and not be whipped for losing.

Although one can easily leverage prop firm payouts to fund a live account, it might require the right knowledge and techniques to achieve this effectively without faults or problems arising.

[GiftedMAN]

If you think that you can pass prop firm's test, then go for it because it means that you're a good one but it's not easy as it goes as there are conditions that you need meet and follow. I'll choose my own live account because the thing about it is, I am trading my own money and I feel obligated to improve myself with my money without having any that much conditions to follow for myself and if it doesn't work well for me, no need to stress with the bad results.

You may not have enough trading capital but you are very good as a professional trader then trading for prop is not a bad idea provided you know what you are doing, you will have some many advantages cause you will be tested and given enough capital ane since you have enough capital you won't be too greedy cause the amount you will be looking for can't be compared to someone who is using a small amount to enter different markets to hit it big. But if you are nit sure of yourself it is better for you to keep trading by yourself with your own capital, you will not be scared of losing too much since you will be ready to accept any outcome.

[tabas]

If you think that you can pass prop firm's test, then go for it because it means that you're a good one but it's not easy as it goes as there are conditions that you need meet and follow. I'll choose my own live account because the thing about it is, I am trading my own money and I feel obligated to improve myself with my money without having any that much conditions to follow for myself and if it doesn't work well for me, no need to stress with the bad results.

You may not have enough trading capital but you are very good as a professional trader then trading for prop is not a bad idea provided you know what you are doing, you will have some many advantages cause you will be tested and given enough capital ane since you have enough capital you won't be too greedy cause the amount you will be looking for can't be compared to someone who is using a small amount to enter different markets to hit it big. But if you are nit sure of yourself it is better for you to keep trading by yourself with your own capital, you will not be scared of losing too much since you will be ready to accept any outcome.

Traders who know that can pass on the prop firms exam and requirements, they'll pursue that. But those who can't, it's very simple and all they have to do is to keep on improving themselves, continue to run tests and have a better win/loss ratio. I think there's an advantage for those who are good enough, they're not pressured, they can go wherever they want to go. Either with a prop or just themselves which is still going to make them money however the choices and decisions are done by them.

[Woodie]

I'm don't know if this has been discussed here, but I'm quite curious and I will like to hear from active traders here.

Trading a live account and trading a propfirm which one is best, they both have their advantages and disadvantage, but I feel the best is live account in my POV simply because I don't want to make money under another person's rules, but I'm still open to get why people trade propfirm probably it might be better or not?. There are reasons why one will make a decision of wich one is best for him or her
So to you all which one do you prefer and why do you prefer it.

First off for anybody using propfirms for the first time especially experienced traders, knowing your rules is getting closer to passing the challenge & am emphasizing on this because experienced traders trade a little recklessly and some don't use stop losses and failing to follow these rules usually means failled challenges because it's new territory for them.

Otherwise prop firms give traders access to big capital for a small amount which is also refundable, which makes these a must try if you can play by their rules.

[JeffBrad12]

You want to trade using someone else's money? prop firm. It should be easy for you to decide, the another person's rules is the caveat that you need to comply because you're not trading your money, it's the prop firm's money, if you make money you're getting some slice of bread.

What they really are meant to do is to collect fees from people who are not traders and have no idea what they are doing. They almost certainly will not pass the test but also throw all their money away on these "fees" in hopes of getting to the real thing.

I do not recommend it. Best thing to do is avoid any and all "prop firms".

Yeah, if OP don't know, these prop firm aren't some angel investor, they get the capital from you and 90% others who will fail the test at their first try. Never ever think of these prop firm as a good company that helps you take the first step in your trading career. Even if you passed the test, the company won't necessarily give you access to real capital, they will give you demo account and share profit as needed like a ponzi.

[Gozie51]

There are reasons why one will make a decision of wich one is best for him or her

There are different categories of why a trader will choose either prop firm account or to trade themselves. Some traders are actually new starts but because they have made progress by chance, they can look up to trading for company while they know wetin themselves that they can't handle their on losses. So they would rather choose to try with firm and that is why they are subjected to testing by the firm. Also, to trade with firm, you can be required to pay a small token of fee, so because they don't have money to start trading for themselves, they may also choose to pay small money to handle bigger account and aim for higher percentage of income from the share. Usually, the trader takes a higher percentage of the profit and this account size/profit probably explains why some traders want to trade for companies like banks and financial institutions.

So to you all which one do you prefer and why do you prefer it.

I would prefer to trade for myself where I will have full control of the account. Trading your own account means you set your rules and no interference, no screening or whatever.

However, I can't be sure if you are allowed to trade prop firm account while also trading yours because it won't be a bad idea for a professional trader. Or, such limitation may also be part of the rules to follow if trading a prop firm account.

[noorman0]

What bothers me about the way some articles out there describe prop firms is the notion that "your failure is their profit." If this is a source of widespread skepticism, it might well be the reason why so many people dislike prop firms, even though they offer access to substantial capital.

[Dareo]

I would say the real issue here is your capital and skills. The reason is that if you have enough skills and capital, then you can trade with your own money in your own trading account. But on the other hand if you do not have enough capital but have enough skills then you can trade in Prop account, because here your capital is not the issue your biggest issue is your skills. That means you will trade for other person.  And as far as I know before entering Prop firm you have to give a test and then enter that is, if you do not have a good skills about trading, then you will not be able to enter there.

[Jaweria parveen]

If we meet this, then we can trade. If we do what we want and break the rules under which we are trading, then that trade is not at all right. There is only loss from this. It is better to trade by yourself and not have any connection with anyone else so that the important thing is to trade according to your own will, rules and capital. But we do not have capital and we have analysis, so we should discuss with the other person and trade. Because it is not his fault that there is a loss, the one who is trading will also protect you from it and you will not break any rules. The more wisdom you have in trading, the less it is because trading is very difficult for even the smartest people to control. Therefore, the more smart you are, the more you should understand the market so that you do not lose but make a profit.

[Sawera2255@]

Prop and Funded accounts are very good option for new traders new traders can learn very much by investing a very little amount in it . In this new traders have no risk of big lose you should have to pay only some money to gain this account .

After this you had to complete some challenges if you pas those challenges then funded account will give to you after this by keeping in view the company policy you will trade on it . The profit you earn from this trade can withdraw or if you do not copmlete the challenges of this then the amount you invest in it will not return to you.

In my suggestion new traders should learn about the trading of funded account rather then invest a money on it or when you learn properly about funded account then you start trading on it .

[Big Dirams]

What bothers me about the way some articles out there describe prop firms is the notion that "your failure is their profit." If this is a source of widespread skepticism, it might well be the reason why so many people dislike prop firms, even though they offer access to substantial capital.

People will always thinks of prop firm in that way because either we get to make profits and make it out successfully or not they still get paid other ways so if we are a victim of this prop firm situation the best options for us is to make sure we succeed and make it out profitably because if we don’t it stands like they made money from you through the fee you paid for the huge capital. This is just business and if they ain’t profitable the company won’t bother giving out capital so either way they are making money.

And the saying is just accurate because your failure is absolutely their profits. This is the main reason why many people don’t even bother to take part in this campaigns. The best thing a trader can do for themselves is just to make sure they make it out successfully so they could share the profits just as they made on the agreement papers.

[tvplus006]

...Trading a live account and trading a propfirm which one is best..

The answer will depend on many factors, such as whether you have enough knowledge and capital to trade independently? If the answer is no, then Propfirm is a good chance to gain knowledge and gain practical skills with the provided capital.