Funding models · Rookie
Proprietary trading
Also searched as: prop trading, proprietary firm, prop firm
What does Proprietary trading mean?
Proprietary trading means a business trades for its own account. Retail prop programs may instead assess traders in simulation and pay contractual rewards, so the account model needs to be identified separately.
Example
A trader receives a simulated account and earns a cash reward under an agreement.
Illustrative example; not a provider’s quoted offer.Why it matters for prop traders
The word “prop” alone does not establish live execution, employment, or ownership of the displayed capital.
Sources and further reading
The following primary sources support the terminology. Provider rules describe their own products and may change.