The daily drawdown rule at FundingTraders requires that a trader’s equity or balance must never fall below -3% of the account size, measured relative to the higher of the day’s starting balance or starting equity. This rule is enforced in real-time and includes floating losses from open positions.

This mechanism is designed to enforce discipline and risk management, ensuring traders do not overexpose their capital within a single trading day.

6% | This is trailing until 3% profit is made. Once 3% profit is made, maximum drawdown locks to initial account size.

Example 1:

Example 2:

Note: The maximum drawdown for Instant Funding accounts DOES NOT reset upon payout.

You are only entitled to risk 1% of the initial account balance. This means the your floating PnL (Profit and Loss) must not drop to -1% of your initial account balance relative to your current balance. This is collective of all active trades.

Example 1:

You are only entitled to risk 1% of the account. This means that your floating PnL must not drop to -$500, and your equity must never fall below $49,500 at any point — or it will be considered a violation.

Example 2:

The Challenge phase does not apply to Instant Funding accounts.

News trading is strictly prohibited.

During high-impact news events, trading is restricted within a 10-minute window, spanning:

For trades placed before July 25, 2025, a longer 20-minute window applies instead:

These restrictions replace the standard 10-minute timeframe for qualifying trades.

All currency pairs linked to the news event are restricted, along with indices tied to the relevant currency’s economic news.

These instruments are subject to the same news-trading guidelines and restrictions.

No exceptions are provided. The rule is enforced universally regardless of when trades were opened, the trading strategy employed, or the trader's intent. All positions must be managed to avoid the restricted time windows completely.

For your Instant Funding account, holding trades over the weekend is not allowed. All open trades across every instrument, including crypto, must be closed at least one hour before market close on Friday.

Plan your trading accordingly each week to leave ample time for closing all open trades before the cutoff to avoid unwanted account breaches.

To remain eligible for payouts, FundingTraders requires that within every 30-day period, you achieve at least 5 profitable days, each earning a minimum of 0.25% of your account balance.

This rule encourages sustained, consistent trading performance and helps ensure that profits are not generated from a single windfall day but instead reflect disciplined, repeatable strategies.

To maintain fairness and promote consistent trading discipline, the following rule applies to both Challenge and Funded accounts:

Consistency is one of the core drivers of trading success. Regular participation helps traders:

By ensuring that only active traders maintain access, we can:

Unrealistic Trading Practices are strategies or behaviors that do not reflect sustainable or genuine market participation, such as placing trades with extremely short holding times or employing methods that cannot be replicated in live trading conditions.

Unrealistic Trading Practices include any approach that lacks real market analysis or long-term viability.

To encourage authentic trading, all trades must meet a minimum VWHT threshold:

If a trader's VWHT is less than 2 minutes, the account is considered to be using unrealistic trading practices and will be flagged for review:

High-frequency trading (HFT) strategies, especially those involving trades lasting from 0–15 seconds, are considered unrealistic and unsustainable in this context:

Traders must hold positions for a realistic period (VWHT of at least 2 minutes weighted by trade volume). Practices that involve fleeting trades or HFT methods are not all

High-Frequency Trading (HFT) is not allowed on funded accounts due to the challenges of reproducing such strategies in real-world market conditions, especially because of unavoidable latency between a funded trader’s account and the master account. This restriction specifically applies to trades lasting 15 seconds or less, which are unsustainable because real execution speeds, even on advanced infrastructure, are subject to technology and distance limitations.

However, if a trader executes a single trade below 15 seconds, it may be permitted as an isolated event. Repetitive trades of this nature, though, will lead to the account being flagged, and eventually failing, due to the use of prohibited HFT strategies.

This ensures trading practices remain fair and realistically achievable for all participants.

At FundingTraders, grid trading is strictly prohibited because it poses elevated risk and can distort fair market participation. Grid trading involves placing multiple buy and sell orders at varied price intervals to profit from fluctuations within a set range, but it can rapidly lead to large drawdowns in volatile markets and misrepresent true trading activity.

Grid trading is a strategy in which multiple buy and sell orders are placed at different price levels above and below the current price. As price oscillates, each order captures minor profits. However, if the market moves strongly in one direction, it can trigger a string of orders that magnifies losses far beyond those of conventional trading techniques.

For example, a trader sets buy orders at $100, $105, $110 and sell orders at $115, $120, $125. If price bounces within this range, orders close for small gains. If price trends sharply, for example below $100, losses from multiple positions can accumulate quickly.

Grid trading is not allowed under any circumstances. Traders using grid strategies may face penalties, including possible disqualification from funded accounts. This policy helps maintain a safe, fair, and transparent environment for all traders.

At FundingTraders, the use of EAs (Expert Advisors) and Bots is permitted, but only if they are focused on risk management and help foster disciplined and sustainable trading practices.

Traders at FundingTraders are allowed to use VPNs for enhanced online security while trading on the platform. This policy is designed to support privacy and flexibility so traders can safeguard their accounts and operate with confidence.

However, it is the trader’s responsibility to maintain the security of login credentials and remain vigilant against possible threats. Using a VPN does not absolve the obligation to keep account details private and secure; neglecting this may expose accounts to risks.

This approach ensures both maximum flexibility and a secure environment for every trader.

Instant Funding accounts are allowed to hold trades overnight. This flexibility empowers traders to execute swing strategies and manage positions in alignment with their analysis.

By staying informed and integrating these considerations into a sound risk management strategy, traders can make the most of this flexibility while minimizing potential drawbacks. FundingTraders is committed to supporting a transparent and trader-friendly environment.

For certain FundingTraders account types, such as Instant Funding, the lot size input per trade must not exceed 20. If a trader places a trade with a lot size over this limit, the account will be immediately marked as failed. This rule is enforced to mitigate risk and support responsible trading practices.

This restriction applies specifically to Instant Funding accounts, while other account types (including some challenge accounts) may not have a hard cap on lot sizes. Always review your account rules to ensure full compliance.

There is no requirement to place a stop-loss order on trades at FundingTraders, recognizing that many traders use EAs or bots for automated risk management. This flexibility accommodates those who automate protective measures through their own systems.

However, it is highly recommended to always use a stop-loss order as a best practice. Setting a stop-loss helps manage risk, prevent unexpected large losses, and maintain account discipline, especially in volatile or fast-moving markets.

Traders should review their strategy and automation setup to confirm that risk controls are in place, even if stop-loss orders are not manually applied to every trade.

FundingTraders supports up to 1:50 leverage, with specific ratios for each instrument class to suit different trading strategies and manage risk appropriately.

This tiered leverage structure ensures both opportunity and account protection, aligning with FundingTraders’ focus on sustainable trading.

For Instant Funding accounts at FundingTraders, the commission is $6/lot roundtrip on all instruments, except Indices.

The Consistency Score is a trading rule designed to encourage sustainable and reliable profit generation, not just high-risk, one-off gains. A trader’s largest profit day should not exceed 15% of total profits to qualify for payout eligibility. Partial trades are counted on the day the position is fully closed. This ensures profit allocation reflects actual realized outcomes, not interim fluctuations.

The Consistency Score puts a threshold to the influence of outlier trading days, ensuring payouts are reserved for traders with steady performance. The largest trading day’s profit must be less than or equal to 15% of the total profit at any point. If the score exceeds this limit, trading must continue until compliance is achieved.

(Highest Trading Day Profit / Total Trading Days PNL) x 100 = Consistency Score

To qualify for payouts, the result should not be greater than 15%.

If the Consistency Score is above 15%, use this formula to find the minimum total profits needed to meet the rule:

Highest Trading Day Profit / 0.15 = Required Total Trading Days Profits

To ensure payout eligibility, keep the largest profit day at or below 15% of current profits at all times. This approach rewards consistent, lower-risk trading performance and discourages a reliance on single large trades or lucky events.

The rule at FundingTraders is: Your biggest loss on the account must not be greater than your biggest win. If your largest loss is bigger than your largest win, you must continue trading until your biggest win surpasses your biggest loss.

This rule is designed to promote responsible risk management and discourage outsized losses relative to trading gains.

For Instant Funding accounts, the first 3% profit on the account is not withdrawable, serving as a mandatory buffer to protect against a breach of the daily loss limit. This 3% is always calculated from the initial account size, not on accumulated profits.

To be eligible for a payout with a FundingTraders account, you must earn at least 1% profit based on your initial account balance before making a withdrawal request.

This requirement helps ensure that payouts are only available to traders who demonstrate meaningful, sustained account growth while maintaining all other risk management criteria.

Every 14 days | The default first payout is available 14 days after the first trade on a funded account for the trading period.

For Instant Funding accounts, payout requests trigger an automatic reset to the initial account balance plus the 3% safety cushion (as long as the cushion is not included in the payout request). This allows traders to continue trading without interruption while their payout is being processed, ensuring continued market activity during the withdrawal process.

If an account fails within 48 hours of a payout request, the payout will be denied. The account will then be reinstated, and the payout amount will be credited back to the account balance.

It is essential to understand how the 3% safety cushion applies to payouts:

This setup ensures both speed and flexibility while letting traders maintain market activity due to the account reset feature during payout processing.

FundingTraders provides a Refund Bonus as a unique benefit for traders who reach their first payout. When you qualify, the fee you paid for your evaluation phase is refunded, helping you maximize your trading rewards.

If you paid $149 for your evaluation and passed, your first payout will include the profit share you earned plus the $149 refund.

FundingTraders offers a default profit split of 90% to the trader and 10% to the firm. For those seeking a higher payout, add-ons are available during checkout to increase the profit split to 100%.