Was thinking to open commodity prop trading frim In UK

Industry Insights
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Me and some of my few fellow trades friend was thinking to start our own prop frim. We have a enough capital, We want to trade only in commodities market (both Indian and international), but we are stuck with where we should establish our firm, India/UK?

If we establish the firm in India, the FEMA act will prohibit us from trading in international market, and if we based in UK than our broker(Interactive broker) doesn’t allow us to trade in India. what should we do in this situation ? If we open the firm in GIFT CITy (IFSC) will be able to trade in both the market ?
we choose interactive broker because its the only reliable broker who we can trust, who provide prop desk service like multi user login, CRM, Risk management etc. Is there any other broker who provide same service ?

@nithin could please guide us ? :sweat_smile:

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If you transfer money out of India to this UK company, you still can’t do derivative trading (equity or commodity) with it, unless of course, this is for hedging purposes.

There is no regulatory right way to be able to do this.

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So, there is no way to trade both Indian/UK market under the same firm ?

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You can invest in stocks and commodities (buying the underlying), but you can’t do derivatives trading.

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Got it, Thanks :pray:

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hi were you able to form that prop trading firm in uk ?

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Hi Riddhi, We haven’t started the prop firm in the Uk but in India.

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Hi, there, I am a resident in Ireland, is there a way i connect with you guys or join on board with you all.

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https://www.linkedin.com/in/rhiddhi-chakraborty11
HI IF would like to connect , that would be great @Ayush_Vardhan Ayush and @djain21 Darshan .
I am trading under my own name but if we could register it outside that would help open up huge opportunities not just in commodity but also entire derivatives market , better capital efficiency and access to agri energy metal all the index though i dont prefer index and most importantly etf and vix products .

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@Rhiddhi_Chakraborty hello bro iam a trader and i trade in naturalgas futures only is there any way to join your prop firm as i wanted to expand . can i join your prop firm as a trader?

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@NEOXY_Gaming I trade alone not a firm or llp ,if you are inside india there is no point to form llp taxes will be same even bigger without having any access to more products , better to trade separately , the only benefit comes if forming anywhere outside with an external director who lives outside , i am NOT an expert on the this , please talk to any Cpa if outside or CA in india for better information , this is purely educational . If you want to go in this structure better consult both lawyer and cpa/ca cause we are all strangers talking into a pit/ blog and feel free to ping me .