A micro cap or small cap trade program is simply a much bigger program e.g. $100M or $500M program, which has been opened up to new applications with a smaller minimum entry level. The collective sum of the funds being traded will equal or surpass the larger trade programs minimum entry level but in the case of micro or small cap there may be numerous individual applications adding to the size of the amount being traded or simply topping up the total amount. It is for the trade platform in Pennsylvania to choose if they can be bothered with the hassle of taking on numerous unique principals to execute the same trades as they would with one or two clients. For this reason numerous trade platforms don’t offer micro or small cap programs, and if they do, they may not be available to new applications as frequently as the new applicants would like e.g. evergreen or all year round.
Small cap trade programs do not offer the returns the larger programs offer, in fact they can offer a tiny portion of the returns. The returns can range from 5% upwards but it is totally dependent on what the trade platform is presenting at any given time. The trade platform sees it as a take it or leave it approach, knowing that micro cap programs can be hard to enter and are not commonly accessible.
With lower starting point programs it is a case of knowing the right contacts and being ready to submit your application at a moments notice, because there’ll be numerous other applications being submitted at the very same time.
Global Title And Escrow Services LLC ( GTES) has access to small and micro cap programs in Pennsylvania which are available all year round and are presented by a trusted resource. The ideal minimum entry level is $1M, but $100k can also be used albeit with much lower returns. There are a number of ways to enter these programs, such as blocked funds, funds held in Escrow, or Insturment.
If you are considering entering a $100k micro cap trade program or small cap trade program and are not sure who to speak or what is involved, contact GTES or request a call.