Can being a funded trader make you rich? - Honest opinion

Summary

The speaker, a funded trader with $600k capital, discusses the potential to become rich through trading with prop firms. They define 'rich' as having a significantly higher income than expenses, allowing financial freedom. Emphasizing the importance of consistency, strategy, and living below one's means, they advise on managing capital and suggest having multiple income streams. The video aims to provide realistic insights into trading and wealth-building, encouraging viewers to focus on skill development and smart financial management.

Takeaways

• 💼 Being rich is defined as having a significantly higher income than expenses, allowing for financial freedom and choice.
• 🌍 Location impacts the feasibility of becoming rich through trading, with higher costs of living in cities like London or New York making it more challenging.
• 💡 Consistency in trading is key to becoming rich, which requires a solid understanding of one's trading strategy before joining prop firms.
• 🏦 Living below your means is crucial, especially in high-cost areas, to ensure a surplus of income over expenses.
• 🌐 In countries with a weaker local currency, a funded trader can live comfortably on a smaller amount due to currency strength.
• 💰 Being funded with $50-$100K and receiving 2% payouts can lead to significant earnings, especially when withdrawn in a stronger currency.
• 🚫 Avoid wasting money; spend on valuable experiences and milestone rewards, not on unnecessary items.
• 🔄 Diversify capital across different prop firms and alternate payouts to maintain consistency and reduce risk.
• 🏡 Having more than one income stream is advisable, as it can supplement trading profits and provide additional financial security.
• 💼 To become wealthy, one needs to move beyond prop firms to managing larger investment capital, such as hedge funds or real estate portfolios.
• 🌱 Building wealth takes time and patience; focus on skill development and capital management for long-term success.

Q & A

What is the speaker's current capital in the trading firm?

The speaker currently has 600k in capital.

What is the speaker's definition of being rich?

The speaker defines being rich as having a significantly higher income than expenses, which allows one to have choices and walk away from undesirable situations.

How does living in a high expense area affect the potential to become rich through trading?

Living in high expense areas like London, New York, or Miami makes it more difficult to become rich through trading due to higher living costs, requiring a slower approach, learning the skill of trading, and living below one's means.

What is the importance of consistency in becoming rich as a funded trader?

Consistency is crucial for becoming rich as a funded trader because it allows for steady payouts and the ability to withdraw funds without depleting capital.

How does the speaker manage their finances to maintain a higher income than expenses?

The speaker manages their finances by splitting their capital into different segments, alternating payouts, and living below their means.

What is the significance of knowing one's trading strategy before joining a prop trading firm?

Knowing one's trading strategy before joining a prop trading firm is significant because it reduces the risk of losing money and increases the likelihood of becoming rich.

How does the speaker suggest using milestones to manage spending?

The speaker suggests buying significant items like cars or watches only as milestones, meaning they are purchased after reaching certain financial goals.

What is the speaker's advice on having multiple income streams?

The speaker advises having more than one income stream, such as trading and another skill or job, to build wealth and provide financial security.

How does the speaker view the role of personal accounts in wealth building?

The speaker sees personal accounts as a way to take higher risks with a set amount of capital, knowing the system and potential drawdowns, which can contribute to wealth building.

What is the difference between being rich and becoming wealthy according to the speaker?

The speaker differentiates being rich as having a higher income than expenses, while becoming wealthy involves owning significant investment capital, managing larger funds, and potentially having a diversified portfolio including real estate.

What is the speaker's stance on the importance of character and morals in wealth building?

The speaker emphasizes that character and morals are the most important aspects of wealth building, as they form the basis of one's legacy and should not be compromised for financial gain.

Outlines

00:00

💼 Becoming Rich Through Funded Trading

The speaker, a funded trader with $600k capital, discusses the possibility of becoming rich through funded trading. They define 'rich' as having a significantly higher income than expenses, which allows for financial freedom and choice. The speaker emphasizes the importance of consistency and strategy in trading, as well as living below one's means, especially in high-expense areas like London or New York. They also highlight the benefits of being funded with a smaller amount in areas with a weaker local currency, as the same amount can go further. The speaker shares their personal experience of managing capital and building a strategy that has allowed them to have a substantial income from prop firms.

05:01

💰 The Path to Wealth and the Importance of Financial Discipline

The speaker elaborates on the journey to wealth, which is different from simply becoming rich. They stress the importance of saving and investing the money earned from trading rather than spending it frivolously. The video targets viewers who are at a stage where earning a significant monthly income from trading would be life-changing. The speaker also talks about the need for financial discipline and having multiple income streams, sharing their own experience as a data analyst alongside trading. They discuss the concept of living below one's means and investing in milestones rather than unnecessary luxuries. The speaker also touches on the idea of using the skills and capital management experience from prop firms as a stepping stone to managing larger investment funds in the future.

10:01

📈 Consistent Trading and Building a Financial Future

In this paragraph, the speaker encourages viewers to focus on skill development and consistent trading to achieve financial success. They dispel the myth of getting rich quickly through scams or unrealistic trading strategies, advocating for a steady and disciplined approach to building wealth. The speaker shares their personal happiness derived from having a structured financial plan with more income than expenses, allowing for a comfortable lifestyle without excessive materialism. They conclude by inviting viewers to join their free Discord community for support and accountability in trading and financial goals, and they express their commitment to providing valuable content in future videos.

Keywords

💡Funded Trader

A funded trader is an individual who receives capital from a proprietary trading firm to trade financial markets. This capital is provided with the expectation that the trader will generate profits, often with the firm taking a share. In the video, the speaker mentions being a funded trader with $600k in capital, emphasizing the importance of consistency and skill in this role to achieve financial success.

💡Capital

Capital, in the context of trading, refers to the funds available for investment or trading. The video discusses the significance of having a substantial capital for trading, which can lead to higher potential earnings. The speaker shares their experience of managing a large capital and the strategy of living below one's means to accumulate wealth.

💡Payouts

Payouts are the profits or earnings that a trader receives from their trades. The video mentions payouts as a key component of being a funded trader, with the speaker highlighting their own consistency in payouts as a measure of success. Payouts are also tied to the concept of being 'rich,' as they contribute to a trader's income exceeding their expenses.

💡Strategy

A trading strategy is a plan or method that traders use to make decisions in the market. The video emphasizes the importance of having a solid strategy before joining a prop firm. The speaker suggests that without a strategy, a trader is likely to lose money, which contrasts with the goal of becoming rich by having a larger income than expenses.

💡Consistency

Consistency in trading refers to the ability to repeatedly achieve profitable trades over time. The video stresses the importance of being consistent to become rich as a trader. The speaker shares their own experience, stating that they are a consistent trader, which allows them to earn a steady income from trading.

💡Income vs. Outcome

Income vs. Outcome is a concept used in the video to define being rich. Income is the money earned, while outcome refers to expenses. The speaker defines being rich as having a significantly larger income than outcome, which allows for financial freedom and the ability to make choices, such as walking away from undesirable situations.

💡Prop Firms

Prop firms, or proprietary trading firms, are companies that trade their own capital. The video discusses how becoming a funded trader with a prop firm can potentially lead to wealth. The speaker shares insights on how to leverage prop firm funding to increase one's income and achieve financial goals.

💡Wealthy

Wealthy, in the context of the video, refers to a higher level of financial success beyond just being rich. The speaker distinguishes between being rich, which is having a higher income than expenses, and being wealthy, which involves managing larger sums of capital, such as running a hedge fund or having a diverse investment portfolio.

💡Currency

Currency in the video refers to the money used in different countries. The speaker discusses how the value of the currency in which a trader is paid (like pounds or dollars from prop firms) can significantly impact their lifestyle and financial success, especially in countries where the local currency is weaker.

💡Milestones

Milestones are significant achievements or stages in a trader's career. The video mentions that the speaker buys things like cars or watches as rewards for reaching certain milestones. This concept is tied to the idea of living below one's means and only spending on things that have value, which contributes to financial success.

💡Disciplinary

Disciplinary, in the context of the video, refers to the self-control and discipline required to manage capital effectively and make profitable trades. The speaker talks about the hard work and discipline needed to build a successful trading strategy and the importance of this discipline in achieving financial goals.

Highlights

Can you get rich as a funded trader?

Definition of being rich is having a much higher income than expenses.

Funded trading can make you rich if you're consistent and have a solid strategy.

Living in high expense areas like London or New York makes it harder to become rich through trading.

Living in countries with a favorable exchange rate can make funded trading more lucrative.

Consistency in trading is key to becoming rich.

It's important to live below your means to accumulate wealth.

Having a diversified income stream can contribute to wealth accumulation.

Spending money on milestones rather than wasteful expenses is a smart financial move.

Having more than one income source is recommended for financial stability.

Wealth is not just about money but also about character and helping others.

Becoming wealthy requires more than just prop firms; it involves managing larger investment capital.

To become wealthy, one must own real investment capital and have a diversified portfolio.

It's important to save and invest the money you make from trading to build wealth.

Having a second income or skill can help you scale your financial success.

Funded trading provides valuable experience for future investment fund management.

Discipline in spending and saving is crucial for becoming rich through trading.

Avoid scams and focus on building wealth legitimately.

Joining a free Discord community can provide support and accountability in trading.

Transcripts

so the question on everyone's mind is

can you get rich as a funded Trader can

funded trading make me Rich you know how

much money can you make a lot of people

want to know and this is coming from a

funded Trader myself I'm currently with

600k in capital and as you a lot of you

know me is for my consistency for my

payouts for my you know the the fact

that I've been on podcasts and doing all

these things

and still keep it real because that's

what we're going to doing this video so

I'm going to keep you guys I'm going to

tell you guys the truth of can you be

rich from prop firms and can you do that

now everyone has their own definition of

being rich that's the that's the thing

that's the little Nuance but I'm going

to tell you my definition of being rich

and I want to know if you guys agree

with me so my definition of being rich

is when you have a way bigger income

than your outcome and then that allows

you to

have your own choices you can walk away

from situations you don't like that's

being rich so that's uh being rich in

life in general you know you're grateful

you're making more money than you have

expenses by a long shot maybe 2 or 3x so

your income's maybe two or 3x at least

than your outcome can you do that by

fund being a funded Trader yes however

it's going to be different for different

people for example if you live in uh the

UK if you live in London New York y City

Miami these sort of um High expense

places it's going to be way more

difficult because your expenses are

going to be way higher so you're going

to have to treat things a little bit

differently take it a bit slower and

learn the

skill of trading and just you know rely

on that and live below your means you're

going to have to live below your means

whereas if you live in another country

uh in you know some parts of Asia Africa

place like that where the currency of

the pound and the dollar that you're

going to be getting from his Prof Firs

is much stronger than the currency

you're in you can actually live a great

life by getting 50 100K funded but the

thing is you have to be consistent and

the way to be consistent is to just know

your strategy know have that before you

come into prop firms because if you

don't have that before you come into

prop firms you're going to lose money

and you're going to not become rich

you're going to become broke see that's

the difference now if you know what

you're doing when you come into prop

firms you have now allowed yourself to

be in the realm of getting more Capital

to allow yourself to be rich now you can

get 50 100K

funded and you know get say 2% payouts

and just keep withdrawing them and take

it and it's going to be a lot more in

the currency that you're in now that is

going to help you guys become rich in

your area right rich in your in your

area now if you're in London

whatever you're going to have to do what

I do and that's going to help you become

wealthy now one thing is actually don't

waste your money I believe it or not you

I know you see me go on holidays and

this and that but I spend money on

certain things that I find Value from I

find Value from going on holidays it

opens up my mind you know you have to

live life as well but I don't waste

money on dumb stuff I'm telling you I'm

I'm always tell you guys that I live

technically still below my means you

know I have a car and things but I buy

these things as a Milestones so if I buy

a nice car I buy as a milestone if I buy

a watch I buy as a milestone cuz I've

reached a milestone if I don't reach

that Milestone then I don't need to buy

these things and the way I do it is I

have capital and I split them out so I

have like 100k here 100K here 100K here

200k here 100K here and then I'll

alternate the payouts 2% here 2% here 2%

2% because I'm a consistent Trader I

know I've done all the hard work the

backbone to

build my

discretionary to build my strategy and

then to build the discretionary

intuition that I have on top of that to

really get me that edge um is a blessing

and it's it's taken very you know hard

work for that but that's what has

allowed me to pull in a decent amount of

income from these prop firms and I also

trade personal account so I have a

personal account where I I put a certain

amount of money in that I'm willing to

risk R higher on and just risk a little

bit higher on it because I know my

system I know how much draw done I'm

going to go in I've been here I've done

everything I've done all the DAT I know

everything about my system so that

allows me to do that and with that you

can make a good income to be rich you I

this is why I suggest people have more

than one income SO trading don't get me

wrong you can make great money from

Trading prop firms this is this video is

about just funded accounts if you want

to go hedge fund route Capital that's

definitely going to make you rich like

once you got to that level but there

Step One everyone probably watching this

video is not on that level yet you're on

the level where you want to first get

that feeling of getting 10K a month 20K

a month like wow like it's going to

change your life it's only going to

change your life if you save this money

do you get me because now that's going

to build a buffer and now you're going

to think clearer you're going to be

ready for opportunities that come if you

just make your first 5k in trading and

you spend the 5K straight away on random

not investing back into Prof F

firms or I'm seeing random then bro

like you're me you're mentally not ready

to become rich to become have your

income way higher than your expenses

because you're not doing the right

habits you're not doing the right things

so you need to fix that you need to

spread your risk across these PL firms

you got alternating capital and another

thing is you have to to be honest if you

live in UK Miami you know UK America

whatever Canada your going to probably

still need another income and it's

always good to have another income

because it actually feeds into your

trading more you know for me I was doing

uh data like I'm a data analyst so I was

doing data analyst you know like work on

the side because it was remote and I

could do that trade make money here

money there all money's coming into my

account saving it investing it making

more money crypto making more money

that's how you build that and I also

live below my means like I told you so

yes funded trading can make you rich if

your definition of rich is just having a

way higher income than expenses now to

become

wealthy it's a completely different

story I'm not wealthy yet like I'm

taking you guys on this journey on my

channel and I hope you guys enjoy this

because the realness I tried to teach

you from things that I have been through

myself but to become wealthy that is the

next level that is when you own you know

real investment Capital like not just

prop firms you are taking in investors

millions and you're managing 10 m under

assets you know 20 M under assets you

got a hedge fund you're working for this

you're that you got this investment that

real estate portfolio across different

areas of the world that is how you

become wealthy and that takes time so

there's no rush for that okay you just

that well being wealthy will take time

if you want to do it their legit way

like we want to do it we don't want to

do but by scamming by doing the wrong

immoral things because at the end of the

day there's more to life than just you

know money and you can make money by

scamming people but you're not going to

be able to take that with you when you

die and the morals with you it's just

that's your character is the most

important thing because that's just what

we're here for right to be a good

character and to help others and spread

positive energy now yeah to be

wealthy you will need other means other

than prop firms it's not going to make

you wealthy but the skill that you can

do you can build by doing these prop

firms and managing this capital is still

good and you know you're managing

Capital you there a practice for the

future when you want to manage

investment funds and build that track

record and you know really scale your

life if you want to become a Trader

full-time if you don't you can make

couple six figures from funded and then

you can go invest it into your other

skill like I said I always recommend

somebody having another income or skill

or if you save your consultant or

something you can build your own

consultancy with the now the new funds

that you go you got you can hire other

people you can delegate

tasks whatever you do man funded are a

great way to give you that experience

and yeah man just stick to the Grind

focus on the skill and you can make

great money right you can make great

money from Trading if you save it right

if you spend it right and don't you know

be stupid go on holidays here and there

that doesn't cost that much if you know

make you make a certain amount and yeah

just scale reinvest and you can make

some good money from this it's forget

about the scamers trying to make tell

you you can make 100K in a day that's

probably not going to happen just yet

until you get to that uh investment

Capital Area but yeah I hope you guys

enjoyed this raw Talk video again from

me directly as a funder Trader to you

guys to give you inspiration to tell you

guys the real facts about trading and

how to make money and what to do and

what I personally do that makes me very

happy I wake up every day very happy

because I have structured my finances in

a way that I have a lot more coming in

than I have going out and I you know I

get to go do my things I get to go gym

happy do get holidays dinners whenever I

want it doesn't phase me um yeah I don't

need too much material things to be

happy and you shouldn't either and

that's going to allow you to become rich

quicker because our definition of rich

was to you know have a higher income

than your outcome so I hope you guys

enjoyed this video If you enjoyed it

drop a like comment let me know what you

want to see in any other videos um I'm

going to be uploading every week well I

do upload every week anyway usually uh

but I'll keep on the ball with this and

yeah if you want to join my free Discord

I have a free Discord Community there's

no pressure you could IND you just come

in join we talk about life trading

General chat you can post your

milestones in there and we can keep each

other accountable in that free Discord

or free Telegram and yeah I'll catch you

guys in the next video peace peace