What it takes to be a 21-year-old CEO of a proprietary trading firm

Young entrepreneurs have always existed, but only recently have they become symbols of business success. Since the invention of the internet, there has been a surge in teenage innovators achieving financial independence and becoming millionaires.

These young minds are emerging from various industries, including technology, healthcare, and finance. Like our very own protagonist, Sean Bainton, who launched his first prop trading firm at 18, an achievement built on three years of hard work and innovation.

Raised by a diligent teacher, his mother served as an example of dedication and hard work. “I had a front-row seat to the value of hard work and sacrifice,” he recalls, describing it as the driving force behind his journey to independence.

Once upon a scrolling spree, a 15-year-old Sean came across a trading guru who was selling an introductory course about the forex markets. He had Sean hooked to the point that he spent all his savings and birthday money of £250 on the enrolment fee of the course. One course led to more specialized ones, nurturing a young trader who eventually built his own automated trading algorithms.

Often misunderstood, finally starting your own business does not mean success or it is the end of the road rather it is the beginning of a more challenging journey. Therefore, when Sean started Blue Guardian, he knew it was the start of something big. He specifically chose to start a proprietary trading firm because of how the model had allowed him to trade despite not having the funds to do so.

The proprietary trading model provides traders with capital and the profits earned are then shared among the firm and trader based on the profit sharing/splitting model. Sean remembers, “I didn’t have access to large funds, and I know how challenging it can be to break into trading without resources”, thus, he decided to build on this model and improve it by allowing traders to start, grow, and earn profits regardless of their financial background.

But how does our protagonist manage it all? The young CEO of two prop trading firms has a simple mantra of staying focused and basing decisions on logic, not emotions. At Blu Guardian and Aqua Funded—Sean’s other prop trading firm—he has built a robust team that prioritizes long-term growth over short-term disturbances. Running a business is about maintaining constant communication within and outside the business, whether it be with employees, traders, or liquidity providers, a clear understanding of the business keeps everything in perspective.

Looking at the current global economy that is filled with uncertainties after the pandemic, people have ventured into side hustles to survive and prosper. Amidst all this many money-making schemes have gained traction among the youth, specifically trading with simulated trading and demo accounts enabling amateurs to learn without spending money.

So how does one transition into an expert from an amateur? Sean states “Success in this industry comes down to resilience, adaptability, and discipline.” He emphasizes the rapid nature of the markets and how they demand flexibility and agility, it is about staying ahead of the market and being prudent.

Further, he acknowledged how the industry requires ambition but this needs to exist whilst remaining grounded, taking calculated risks, and making smart decisions. Many people seek shortcuts that may allow them to acquire quick returns but they are not earned through sustainable means which makes their strategy unfeasible in the long run.

The trading industry has often been perceived as a game of chance, along with the misconception that prop trading firms do not want their traders to succeed. Sean dispels these misunderstandings by explaining how the two misconceptions overlap, if a firm trades against its traders, it is also operating in the short term, making it a game of chance of sorts.

Yet the industry continues to exist and prosper disproving these myths as the long-term players continue to remain in the industry due to their strategic trading approach which fosters the growth of its traders to earn returns. He went on to advise new traders and prop firm entrepreneurs to master risk management first, as many fall into the trap of focusing on making money rather than protecting their capital.

To quote his wise words “Success isn’t about how much you make—it’s about how long you can stay in the game.”