Hey guys,
Have been going through a few forums to do some due diligence on sixcapital and I thought that I might contribute some of my thoughts on it. Please dun bother flaming me as I dun really care but I am going to make a few assumptions and pointers and anybody who has gone through the sixcapital course is more then welcome to correct me.
First things first, $3500 may seem quite steep but I do have to say it does consist of 4 months of training and mentorship. There are quite a few online courses out there that goes for $2k or more and all you get is a few dvds and a manual.
But then again, I believe prop firms should never charge their trainees a fee to train them. I do not buy the idea of paying $3500 for the the chance to trade live for them after the course. Sixcapital should have confidence in their ability to turn all their trainees into good traders and not ask for $3500 as collateral.
My next point and question I want to bring up is that when you go live while still in the course, do you have to fund your own account on top of the $3500 course fees? If that is the case, how much must you put in to open a live account? This makes the actual cost of the whole course potentially much more than $3500.
My final and most important point I like to bring up is with Sixcapital's broker Dukascopy. They are reputable and I use them as they are ECN, but one thing so far no one has brought up is the introducing agent program. You can read about it here:
http://www.dukascopy.com/swiss/english/ia/classicIA/
Under that scheme, dukascopy will give back 50% of commissions back to the introducing agent as rebates for each trade so long as the trader nominates them as an introducing agent. Most introducing agents would then pass back 90-98% of the rebates back to the trader and keep 2-10% of it for themselves. Hence the question. Does Sixcapital give back any of the rebates to the trainee? I am pretty sure that Sixcapital is definitely involved in the introducing agent scheme but do not know how much they give back to the traders.
So lets break it down. Dukascopy charges $48 per 1 million traded although it gets less if volume increases. So by requiring to do 14 trades a day at 100000 or 1 lot per trade, everyday the minimum trade size is 2.8 million (14 round trips) which equates to around $135 in commissions. If Sixcapital gets half of it back as rebates, every month (assuming 20 working days) would net them $1350 in rebates per trader. Not too shabby imo. Not to mention sixcapital would also get rebates for all the self-funded trading accounts the trainees would potentially have to open during the course. Even if you go live and are officially invited to trade Sixcapital's money, they will probably fund your acount with your $3500 as well as those who did not manage to qualify.
Hence it is a win-win situation for sixcapital imo. If you make money, they take a cut of it. If you lose money, it is your own money anyway or someone elses and sixcapital would probably fire u once u reach a certain drawdown. And all the while they are collecting rebates so if u break even, you take home nothing and sixcapital still wins. There are a few prop firms out there that make money via rebates and somehow I think sixcapital might be another one.
Thus to conclude, unless you have conviction that you are going to succeed or have too much spare cash to spend, then do join them as there is no limit to how much top traders can make. Otherwise, you are better off learning yourself or taking those professional courses with SGX academy. Those courses are run by professional traders who are well-known in the local trading scene and if you make an effort to learn and to get to know the trainers well, they might invite you to trade for them or refer and recommend you to other prop firms which belong to someone they know. A lot of these trading jobs dun get advertised as it is all kept within the circle which is why you need to make contacts to get in.
Anyway that is my 2 cents worth. I might be wrong on the rebates thing so anyone from sixcapital who knows otherwise is more than welcome to correct me.
Cheers
