22 y/o w/ SIE — path into equity prop trading?
22, still in college and based in Texas. Looking for guidance on legit equity prop firms.
I’ve spent the last year developing a short strategy focused on overextended top gainers. Mainly stocks that go parabolic, get extended, thin out, and start showing exhaustion. The goal is to enter near the top or shortly after and let mean reversion play out.
Most of my trading is day trading, but if a stock has had a strong multi-day run and the structure makes sense, I’m comfortable holding for days and waiting for a larger unwind instead of forcing intraday exits. Risk is defined and sized properly.
I’ve been trading a small personal account and have been consistent enough to believe the edge is real. I’ve also tried online prop firms (equities only) but stepped away because the rules felt stacked and not worth building around long term.
I’ve been researching real equity prop firms. I’m based in Texas, so remote would be ideal, but I’m also willing to relocate to NYC if that’s clearly the better path. T3 Trading was one firm I looked into, but after digging around I wasn’t fully convinced. I already have my SIE and I’m planning on getting my Series 57.
For those with experience:
What equity prop firms are actually legit today?
Do firms care more about consistency and risk management than account size?
Is this the right path at 22, or better to stay independent and build longer?
Most good prop firms are going to lean heavily quantitative. Mean reversion strategies are good, but you have to be cautious because they tend to do poorly in a different regime. I would also say it's worth noting that trading on a limited capital like your small capital is very different from trading with larger capital. You become much more restrained at the higher levels of capital.
Most prop trading is market making to some degree. Part of that is just that market making is so fucking profitable with very little risk, and part of it is that being a market maker means you have more liquidity to run strategies.
As for pure prop firms, you need ones that are FINRA regulated and run a good risk book. Generally, there are categories to prop firms. Scummy scams, buy in firms, and legit shops. It's unlikely you're looking for a legit shop, as these places are more like Jane street, Optiver, IMC, etc. rather than a shop you buy into like T3.
It really depends a bit on what you want long term.
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