Proprietary Trading Firm
Proprietary trading firms invest directly on behalf of the financial traders trading account.
What is Prop Trading?
Proprietary trading refers to a financial firm or commercial bank that invests for direct market gain rather than earning commission dollars by trading on behalf of clients. Also known as “prop trading,” this type of trading activity occurs when a financial firm chooses to profit from market activities rather than thin-margin commissions obtained through client trading activity. Proprietary trading may involve the trading of stocks, forex, commodities or other instruments.