Prop trading firm Blueberry Funded has paid out $2.3m in less than 12 months of business.
The company, which is backed by Aussie broker Blueberry, went live last summer. Blueberry’s brokerage arm was previously one of the main providers of third-party services to other prop firms.
As we reported on recently, prop firm payouts have been a murky area of the business. It seems likely that some firms are inflating their numbers so that they have something they can use for marketing.
However, $2.3m over the course of about 12 months is a reasonable figure and would suggest the company has done around $7.5m in total revenues.
Prop rivalling brokerage?
The quick expansion of the new arm is also a sign of the popularity of the prop model and how much easier it is for prop arms to expand.
As there is no regulation covering the market at the moment, it means firms are much freer to do organic and paid marketing. For example, Google cannot restrict props in the same way it can for brokers.
We’ve seen this with other prop arms at brokers. For example, ThinkCapital appears to have driven a huge amount of business for ThinkMarkets over the last 12 months, with the prop arm regularly getting more traction across social media channels compared to the parent brokerage brand.
