7 Reasons Why You Should Consider Becoming a Funded Trader (2024)

Imagine for a moment a trading setup that is risk-free, built around your schedule and needs, and which provides all of the capital necessary to succeed. Sounds pretty good, doesn’t it?

Maybe you’re a trading veteran who’s made your mark in-house somewhere but you’re tired of answering to a boss or commuting to an office every day. Or maybe you’re a disciplined, market reading whiz who loves to play the market and is contemplating turning it into a fruitful career.

For many day traders or experienced home traders, the jump from their current trading setups to a fully-funded forex account can be life-changing. The benefits of joining such a fund are many as long as you’re able to put in the time and effort needed to succeed.

It takes discipline and intense self-motivation but if you can do it, you’ll be glad you did.

Table of Contents

seven reasons why Should Consider Becoming a Funded Trader:

1. Make money every month

When you trade with a fully funded forex account, you get paid every month based on your market performance. Since you’re not working off your own capital, you don’t need to worry about wins or losses so much as just performing well in the market. Without the anxiety of trading with your own money, you’re free to just focus on the trades.

This is different from trading on your own when withdrawals will reduce your market buying power. With a fully-funded account, profits don’t come out of your overall investment.

2. Trade Anytime

If you’re disciplined and can establish a rigid schedule to work from, this benefit is a nice change from most jobs that require set hours regardless of whether they work for your personality or not.

When you trade with a fully funded forex account, you set your own hours. Since the forex market is always open for trades, so is the fund. If you’re a night owl and like to trade after midnight, so be it. You find the schedule that works for you and the forex fund will work around your hours.

3. Trade Anywhere

The rules regarding forex trading are different from country to country. If you live in a country with restrictions on forex trading, you will be limited in what you’re legally allowed to do on your own.

When you trade with a proprietary trading fund like the5ers, you’re trading with the fund, not yourself. This distinction allows you to trade from any location in the world.

4. A Badge of Honor

Once you’ve been accepted into the proprietary trading fund, it is essentially a reputation stamp for you as a forex trader. The reason is that not every trader is accepted into the fund and to be accepted means you’ve performed very well in a rigorous test of your trading abilities.

Skill, talent, determination, and a great track record are all validated when you’re accepted to join the fund.

5. Capital to trade

If you’ve struggled with investing your own money or worried about the anxiety associated with trading your own capital, worry no more. When you trade with a fully funded forex account, you’re not risking a penny of your own money. All of the capital comes from the fund and you’re free to trade it however you want in order to make a profit.

When you start to show profits in the funded account, you can scale up your managed capital in a non-linear growth scheme, which offers you 100% growth for every 10% gain. This type of exponential growth scheme is not available to you if you’re trading on your own self-funded account or when you’re trading client investor’s capital.

6. No More Struggling to Find Clients

The second best reason to become a funded trader is that you never have to worry about hunting for clients again. This is in sharp contrast to trading as a forex portfolio manager when you’re always searching for capital to invest.

When you work in the fund, you don’t need to worry about anyone but yourself because you’re managing the account by yourself, for yourself. This gives you the complete freedom to perfect your trading strategy and style with no external distractions or headaches.

7. Goodbye Risk

The best reason to consider joining a fully funded forex account is that there’s no risk involved in trading.

Say it again with us – Goodbye risk.

Risk is removed as a fully funded trader because you’re not investing your own money. The trading fund will provide you with all of the capital which removes the pressure of losing your own money.

Why You Should Consider to Become a Funded Trader with The5ers

evaluation with real money– The5ers is the only firm, that her evaluation is for real money and not on a demo account.
meaning, if you’ve passed the test successfully, you’ve already earned money.

Trading Flexibility – At The5ers, we allow our trader’s freedom to engage in almost every trading strategy.
with the5ers you can continue trading 24/5. you can Hold overnight, or over the weekend, and even hold through economic news releases.

Easily reached milestone targets – From day one with the5ers, you’re given easy and achievable trading targets and objectives.

Monthly payout guaranteed – Guaranteed monthly payouts for all positive profits.

Non-deductible – Payout is not deducted from milestone growth.
2x growth – Double your account every time you hit a 10% growth in your account.

On-time fee – there are no further costs ever.

Affordable – The5ers offers the lowest participation fee in the industry.

Support – Fast and efficient human support every time you need it.
And weekly webinars, which provide tools for trading success.

The Next Steps to Become a Funded Trader

If you’re excited about the idea of becoming a funded trader, here are the next few steps to consider on your journey of making it:

Show Consistency

If you want to make it as a funded trader, you need to show results. If you’re consistently making profitable trades, you’re going to attract attention as a capable trader. The more success you have, the more forex proprietary funds you’ll have knocked on your door wanting your expertise.

Prove Your Trading Skill

The next step is to show you’ve got what it takes by signing up for an evaluation at a forex funding account program.

Follow the Risk Management Guidelines

If and when you become a funded trader, no one will ask you to change the way you trade. The only big consideration is that you follow the risk management guidelines set up by the fund. However, this not to change you but rather, to make sure you don’t take undue risks that put the fund in jeopardy.

Hit the Evaluation Target

If you reach the predetermined profit target within 6 months of live trading, you’ll be accepted into the fund. The5ers portfolio managers are required to reach a 6% profit by the end of a 6 month period.

Portfolio Management

Once you pass the evaluation period, you’ll become a fully funded portfolio manager. In this position, you’re automatically joined for the X2 FOR 10% growth program. This means that every 10% net profit, the fund will double the capital available to you.

From here, the possibilities are vast and completely open to you if you succeed in the fund.

Becoming a Funded Trader Conclusion

If you have a small account, or you don’t want to risk your money, Funded Trader is an ideal solution.
In addition, you’ll have the flexibility to trade, you’ll have the ability to trade at the most convenient hours the suits you, and you can trade from anywhere.
For a lot of traders, this is the ideal situation!

Click Here to Check Our Funding Programs

Photo byMaciej Pienczewski

Share:

You must be logged in to post a comment.

7 Reasons Why You Should Consider Becoming a Funded Trader (2024)

FAQs

7 Reasons Why You Should Consider Becoming a Funded Trader? ›

Benefits of Being a Funded Trader

Access to Capital: Funded traders have access to trading capital provided by the proprietary trading firm, allowing them to trade larger positions and potentially earn higher profits than they would with their own capital.

What are the benefits of being a funded trader? ›

Benefits of Being a Funded Trader

Access to Capital: Funded traders have access to trading capital provided by the proprietary trading firm, allowing them to trade larger positions and potentially earn higher profits than they would with their own capital.

Is being a funded trader good? ›

Improved Trading Skills

Funded trading programs have strict risk parameters and position-sizing rules. This can help you develop disciplined trading habits, manage risk aggressively, and avoid emotions in your trades. All in all, it can be an excellent learning opportunity for you.

What happens if I lose all the money on a funded trading account? ›

Retail prop traders will trade in demo accounts, making all profits and losses theoretical, meaning they are not liable for any losses. So, what happens if you lose money on a funded account? Traders who violate the maximum drawdown rule lose access to the account and must pay and pass the challenge again.

Is it hard to become a funded trader? ›

It typically takes around 4-5 months to become a prop firm funded trader, if you're a consistently profitable trader. Some traders can achieve this much faster by using increased risk. However, the likelihood of failing the trading challenges would be increased.

How are funded traders taxed? ›

Funded traders are only required to report the amount they have received as payouts. For example, if you earn $5,000 in your funded account but only request a $1,000 payout, you will have to report $1,000 worth of income.

How much does the average funded trader make? ›

As of Jun 19, 2024, the average annual pay for a Funded Trader in the United States is $96,774 a year.

Is the funded trader closing down? ›

In March 2024, The Funded Trader (TFT) ceased trading and cancelled their agreements with all traders in their books.

What is the profit split for funded traders? ›

The Funded Trader offers a max profit split of up to 90/10. Once funded traders achieve profitability, they can request payouts in the form of cryptocurrencies or bank transfers via Deel.

Does the funded trader payout? ›

All traders with eligible Funded accounts need to submit a payout request via the Payouts section of the Trade Hub. Reviews of trader's accounts are conducted before processing payouts, which currently are available through various cryptocurrencies including BTC, ETH (ERC-20), USDC (ERC-20) and USDT (ERC-20).

Is it true that 90 of traders lose money? ›

Actually numbers are following: 70% -75% of people lose money in their first year of trading! Other 20–25 % lose money in next 5 years! And only 3–5% of all traders are profitable or not losing money.

What is the max account on funded trader? ›

You are able to manage up to $600,000 in TFT Funded Accounts at once. You are able to merge accounts only after the challenge phases. This is your opportunity to monetize your skills.

What is the time limit for the funded trader? ›

Challenge Time Limit

The Standard Challenge consists of a two-phased evaluation process where a trader has unlimited trading days to complete both phases of the challenge.

What is the success rate of the funded trader? ›

Let's Be Realistic: The Difficulties in Funded Trading

It's time to separate fact from fiction: Success rates in Forex trading are extremely low. In fact, some traders believe it might be as low as 1%.

What is the best strategy for funded account? ›

Consistency and patience are the key to success in a funded account challenge. Rather than aiming for big wins, focus on making consistent profits over time. Be patient and disciplined in your trading, avoiding impulsive decisions that can lead to losses.

What is the best funded account? ›

Top 5 Best Funded Trader Programs 2024
  1. Bespoke Funding Program. Bespoke Funding Program is a prop firm where traders come together to help each other grow and succeed. ...
  2. Funded Trading Plus. ...
  3. Trade The Pool. ...
  4. The 5ers. ...
  5. Instant Funding.
Mar 15, 2024

Can you make money from funded trading? ›

You can actually make money as a funded trader. By either passing lots of channels and getting a fixed pay-out or by being a constantly profitable trader and getting a split of the profits you make.

How does the funded trader pay? ›

All traders with eligible Funded accounts need to submit a payout request via the Payouts section of the Trade Hub. Reviews of trader's accounts are conducted before processing payouts, which currently are available through various cryptocurrencies including BTC, ETH (ERC-20), USDC (ERC-20) and USDT (ERC-20).

What are the tax benefits of being a trader? ›

If you buy and sell securities as a primary source of income, you might be hoping to qualify for trader tax status (TTS). Filing taxes under this designation provides day traders with a number of benefits, such as writing off losses, business expenses, and employee benefit deductions for retirement plans.

What is the limit on the funded trader? ›

The combined total of all funded accounts, whether they are from the Dragon Challenge or from the Standard, Rapid, Royal, or Knight categories, must not exceed $600,000. Acquiring Funded accounts over that limit will be placed on hold until previous Funded accounts are breached.

Top Articles
Latest Posts
Article information

Author: Fredrick Kertzmann

Last Updated:

Views: 6647

Rating: 4.6 / 5 (46 voted)

Reviews: 85% of readers found this page helpful

Author information

Name: Fredrick Kertzmann

Birthday: 2000-04-29

Address: Apt. 203 613 Huels Gateway, Ralphtown, LA 40204

Phone: +2135150832870

Job: Regional Design Producer

Hobby: Nordic skating, Lacemaking, Mountain biking, Rowing, Gardening, Water sports, role-playing games

Introduction: My name is Fredrick Kertzmann, I am a gleaming, encouraging, inexpensive, thankful, tender, quaint, precious person who loves writing and wants to share my knowledge and understanding with you.