I'm 19....... I was thinking EchoTrade.... To make a long story short: I get an e-mail basically telling me after all is said and done, it's going to be near $1,000 to take, study for, and pay exchange dues and stuff for the Series 7. That isn't such a big deal for me, my trading could pay that off, but... is it worth it? To anyone that has any knowledge on the subject, beyond myself possibly going to work with EchoTrade, is there any big benefit to having it? I'm speaking in more of long term. I know it might let me get into other prop firms easier that require a series 7 *I think at least*, but .... what's the deal? Just want more information. So, what are the real benefits of a Series 7 if you have one? Is it worth the effort to get one? Would it help my trading career when looking at the long term impact of having a series 7? Appreciate all info.
A Series 7 is required to trade at most prop equity firms. That's all there is to it. Does it have any relevance to trading? Only in the most general sense. It's a hoop you're required to jump through to trade prop. Nothing more.
You're way overthinking this. If the firm you want to trade at requires a Series 7 take it. Otherwise don't bother (in fact, you can't take it unless a firm sponsors you). It has no relavance to trading or a career in trading beyond being a regulatory hoop to jump through. Firms are trying to structure to avoid a requiring a Series 7 for obvious reasons. Whether those "Series 7 avoiding" entities will hold up to scrutiny, I cannot say. Whether one firm is better than another is beyond me too. You need to decide that on a case by case basis. If you get everything you need from your current firm and you don't need a Series 7 I'm not sure what more you're looking for. Echo's health insurance is not the same as a real corporate health insurance plan. It is not a reason to switch. If you're 19, you can easily get affordable high deductible health insurance on your own that's cheaper than what Echo offers. And you will be a partner in the LLC at Echo, same as any other prop firm. Why would you "want" to be an employee anyway? For the extra taxes? I hope you don't think prop trading or a Series 7 will enhance your marketability to a big firm. It will not. This has been discussed ad nauseum on these boards.
Figured that out and deleted the post. Got it now Thanks for the reply. I didn't want to do the series 7 thing for Echo anyways, just wanted to put up money and trade, but they said it is required to have series 7. I just wanted to use the platform, which so very few firms have apparently. I understand now though.
The firm should pay the expenses to sponsor you for the series 7, as well as provide study materials. Good ones do this automatically, otherwise you have to make it known that you expect this as a condition of your joining the firm. Don't let them b.s. you.
I guess best thing is for me to trade my own account, I'm doing fine with it anyways, just was trying to see advantages vs. disadvatages. If I move to NY, I can still trade at firms offices that don't require licenses, guess it is all the same. Thanks for the replies. I'm one post away from 1,000 woohoo