FAQ - Your Comprehensive Guide to Funded Trading Opportunities (2024)

FAQs

How do you pass a funded trading test? ›

Choose The Funded Trader Program for the Highest Payouts

Based on our experience, we find that you can expect to take home at least 5% of your profits per month from trading. This means, if you start with $100,000, you can expect to make around $5,000 per month!

The prop firm space has been exceedingly volatile over the last few months, with a number of the most known prop firms being shut down or ceasing operations. In March 2024, The Funded Trader (TFT) ceased trading and cancelled their agreements with all traders in their books.

Statistics on Funded Trading Payouts and the 1% Myth

While trading is no cakewalk, the actual success rate might be closer to 5%. So, it's not quite as exclusive as you might have thought. For instance, the average payout for funded trading with The Funded Trader (TFT) is around $7,000.

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.

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.

Funded trader programs can be a legitimate avenue for traders to access capital and amplify profits. However, like any lucrative opportunity, there are risks.

On a funded account, losing a large amount of money does not mean much. Even if it results in losing your funded account, you can still try to pass the evaluation at the same firm again or just join another one. Ultimately, you do not risk much and do not lose much.

How long do you have to withdraw from funded trader? ›

In the Standard and Royal Challenges, first-time withdrawals can only be requested 30 days after the first trade has been placed. For the Rapid Challenge, requests can be made 14 days after the first trade.

There is estimated to be a 90% fail rate of traders that take the FTMO challenge. The reason behind this is due to traders chasing the profit target with a time restriction in place. A trader doesnt know when a winning streak might occur, or when they may take a string of drawdowns.

According to FTMO statistics, only about 10% of traders are able to pass the funded account challenge at any account level. This means approximately 90% of aspiring funded traders fail the evaluation and are unable to gain access to the firm's capital.

Join more than 30,000 members who now enjoy another source of income as traders. Sign up for a TFT account and start honing your trading game today.

Look at the direction of the chart (up or down) and determine if you are a BULL or a BEAR. Once you decide the direction of the market, you will need to identify which stocks have the most potential to move in that direction the fastest – as you are under time pressure from the game.

According to FTMO statistics, only about 10% of traders are able to pass the funded account challenge at any account level. This means approximately 90% of aspiring funded traders fail the evaluation and are unable to gain access to the firm's capital.

Traders are required to complete several trading objectives to pass the funding challenge for example, maintaining the drawdown limit, completing the profit target etc. If one of them is violated during the assessment, trader cannot proceed further and they lose their account.