Hey guys, I signed up with AudaCity Capital i.m about to begin, anyone who’s working or worked with them?
I’ve heard of this firm but only cos I’m doing a
prop fund challenge to see if they work. I didnt go with them because they gave no concrete details on their site.
Could you explain a bit more about what they offer and the costs involved as they needed me to sign up for everything! And I didn’t want promotional emails everyday.
- In their Funded Trader Program they fund professional traders with trading experience.
- They back them with an initial 15,000 USD trading account.
- Every time the trader reaches 10% in profits, they split 50% the commission and double the account size. From 15,000 to 30,000, from 30,000 to 60,000, and so on. Up to a maximum of half a MILLION.
- NO TRADES ON WEEKENDS OR OVER BIG NEWS
- MAX EXPOSURE 0.5 LOTS all cumulative. DRAWDOWN 15% AT ALL TIMES.
- £199 joining fee and £99 monthly fee. That is is to cover the costs of trading which cover the administration, brokerage services and technology. They sad they are in partnership with an institutional liquidity provider to get deep institutional liquidity.
What broker do they use?
Does that max lot size increase as your account does?
up to 0.5 lot, they didnt mention their broker
Are you still part of Audacity? How was it?
I`m really thinking to join the program can you give me more information?if is worth it or no?
Hope this helps.
Yes I`m the one who start that discussion…but not with great result anyway.
Is it advisable and legit to join them with the funded trading program or not ?
The fact that you have to pay an upfront fee of 200£ is already a warning; 100£ monthly fee is a lot as well. The fact that you have to pay before even seeing their platform is another warning. What they claim they offer is a starting 15000£ account and with any 10% increase they double your account.
Now: They claim to split profits 50/50 and to have many experienced traders working for them since a few years ago. If this is true they must have traders with account size of Millions £, splitting their profits 50/50 means they should be a multimillionaire company and these profits should be more than enough to pay for their equipment and whatever else they claim they need to pay.
Go on the internet and look at the reviews, you can find only reviews posted in the last month or so, 99% of them gave 5 stars and excellent comments. Probably people they paid just to write those reviews.
Overall it looks like a good big scam but I can be wrong of course.
Legit companies work in completely different ways
I agree that paying a monthly fee seems unnecessary for a profitable company who is earning 50% of profits. This makes me think that a more rational explanation may be based on the fact that a very small % of people are capable of making consistent profits month over month. So profit sharing would be the minimal source of income.
I don’t believe that every person applying receives $10,000 real funds to play with. A 10% Drawdown means the company would lose $1000 for everyone who fails and 95%+ will fail.
A more realistic business model would be to give every funded trader a demo account but make them believe they are trading real funds. If they fail, the company loses nothing and in fact have made a profit from the £200 application fee and the £100 monthly service fee.
But what about the traders who succeed? Well, success means they have made 10% profit so $1000 profit split 50/50 means the company pays $500 to the trader and have received £200 + £100 in fees. Not much risk for the company here. The bonus for the company is that they are identifying talented traders without taking any risk. The profits they pay out are easily covered by the fees from the 95% of people who sign up and fail.
In summary, this is only my opinion because there is minimal information given by the company.
Once a talented trader has been trading for up to a year it would be in the company’s interest to give this trader real funds to cover the profit sharing.
I don’t believe it is in anyone’s best interest to pay the fees until they have proven their ability to trade consistently and profitably. Maybe publish your results on myfxbook so you are publicly accountable for your results.
Therefore this company may be legitimate but they are certainly not being completely transparent about how they operate. People are expected to fully trust the company but the company doesn’t feel the need to be open and honest.
For a talented trader getting large funds to trade with would be the ultimate goal but he would need to have a solid trading history well established first. Then there would be quite a few investors willing to supply the funds to be managed.