Read on Twitter
1/ Here's an extended thread on @Topstep (and similar services) b/c of some questions I received in the earlier thread about brokers
Disclaimer: I've used TS for months alongside my standard brokers (Tradovate, TDA, RH) and am a partner (ref link at end of thread)
(Cont.)
Disclaimer: I've used TS for months alongside my standard brokers (Tradovate, TDA, RH) and am a partner (ref link at end of thread)(Cont.)
2/ Topstep and similar services operate, in a sense, like a remote prop shop in which you apply & are vetted to trade their risk
You never deposit your own money, so your downside is limited to the monthly sub fee and reset fees, both of which apply only during the combine
You never deposit your own money, so your downside is limited to the monthly sub fee and reset fees, both of which apply only during the combine
3/ The "Combine" is your interview, so to speak. You first choose your account size (up to $150k), which determines how many contracts you can trade and your loss limits.
There are two tiers of the combine, and once you are done you can move on to a Funded or Pro account.
There are two tiers of the combine, and once you are done you can move on to a Funded or Pro account.
4/ In short, during the combine you need to meet a certain profit target without hitting a daily loss limit or max trailing drawdown (as well as some other rules). You trade on a sim account using the Tradovate platform by default, or another platform of your choice.
5/ The quickest you can complete the combine is 15 business days, if you meet the profit targets without violating any rules. It's definitely possible to finish in this timeframe, but it's also easy to get trapped and frustrated as you break rules and have to "reset".
6/ If you break any rules, you need to pay for a "reset" which allows you to restart the combine. Typically these cost $99 but can sometimes be half off or free, depending on promotions and if you joined through a referral. You could easily end up paying for several resets.
7/ The thing is, in my opinion, if you're paying for resets, you've probably saved money versus using your own account and money -- because breaking a rule usually involves losing thousands of (sim) dollars. So here's where you might "save" money by not losing your own.
8/ And once you've completed the combine, you've earned Funded or Pro status. The "Funded" status is exactly what it sounds like -- you are now trading real money just as you would normally, except it's not your own. If you break any rules, you return to the combine.
9/ You receive 80% of the profits you make and 100% of the first $5000. Since you aren't actually trading your own money, Topstep pays you the profits that it realizes -- so you receive $$$ as an independent contractor for tax purposes.
10/ Overall, it's a pretty good deal -- but not for everyone. It's a GREAT learning tool in my experience -- think about how much $$ new traders lose by blowing out their accounts. It's probably more than whatever you'd spend on Topstep.
11/ It's also great if you don't have a considerable amount of capital to start with -- say $25k or so. It's clearly a lot harder to trade if you have less buying power, so you could try to earn your first $10k or $25k through Topstep rather than from your savings.
12/ Okay, that's all. I'd be happy to answer any questions, and please correct me if I've misstated anything.
Here's a referral link for 20% off the combine: http://tracking.topsteptrader.com/aff_c?offer_id=2&aff_id=3160&source=twitter&aff_sub=pin
DM me or reply here if you're interested in other promotions or have questions
Here's a referral link for 20% off the combine: http://tracking.topsteptrader.com/aff_c?offer_id=2&aff_id=3160&source=twitter&aff_sub=pin
DM me or reply here if you're interested in other promotions or have questions
