Proprietary trading, often referred to as “prop trading,” represents a unique segment of the financial markets where firms trade stocks, bonds, derivatives, or other financial instruments using their own capital rather than client funds. Unlike traditional brokerage activities, which generate revenue primarily through commissions or fees on client trades, proprietary trading allows firms to directly […]

Proprietary trading, often referred to as prop trading, is a specialized form of trading where firms or individual traders use their own capital to buy and sell financial instruments such as stocks, bonds, currencies, and derivatives. Unlike traditional trading, where brokers or asset managers trade on behalf of clients, proprietary trading risk the firm’s money […]