The Funded Trader Review
The Funded Trader
Min. Deposit: $289
Platforms: MT5, MT4
Found in: 2021
The Funded Trader Licenses:
- The Funded Trader LLC — registered in Texas, USA
Min. Deposit: $289
Platforms: MT5, MT4
Found in: 2021
The Funded Trader is a proprietary trading firm that provides capital to skilled traders who pass its evaluation process. Successful candidates are granted the title of “funded traders”, allowing them to trade the firm’s money and keep a significant portion of the profits. The firm offers various programs that can provide traders with access to initial trading capital of up to $400,000. Read our article about Prop Trading
Once qualified, these traders, known as Funded Traders, are allowed to trade with the firm’s money and keep a majority share of the profits—starting from 80% to potentially 90%. The firm offers different trading programs and challenges to suit various trader skill levels and aims to foster trader success by scaling up the capital they manage based on performance.
This structure enables traders to leverage the firm’s capital to potentially earn profits without the risk of personal financial investment, provided they adhere to the firm’s rules and risk management guidelines.
|The Funded Trader Advantages||The Funded Trader Disadvantages|
|Lower Profit Target||No Strict Overseeing|
|Good Pricing||It is hard to become Funded Trader|
|Great variety of Balances with Low Registration Fees||Limited Instrument Range|
|Profit Share from Challenge||Only MetaTrader Platform|
|Default 80/20 payout and potential for 90/10 split||Cheesy Video Game Website Interface|
|Refundable Fee once you become Funded Trader|
|Good range of Challenge Accounts|
|MT5 and MT4 with EAs|
The Funded Trader is headquartered in the US, and registration in the United States adds an extra layer of legitimacy to a prop trading firm like The Funded Trader. Moreover, it gains significant legitimacy in the trading industry through its strategic partnerships with Purple Trading and EightCap, reputable Forex Brokers, and VVS Academy, a prominent trading education provider. These collaborations enhance the credibility of The Funded Trader as a trustworthy proprietary trading firm.
Our team of Financial Experts has examined the legitimacy of The Funded Trader through information available on their official website and found no clear evidence to suggest that it is a scam. However, it’s important to note that proprietary firms generally operate with less oversight from financial regulators, making it more challenging to assess their full legitimacy.
Most prop trading firms, including The Funded Trader, mandate that traders demonstrate their proficiency in generating profits before granting them a funded account. The Funded Trader differentiates itself with an innovative evaluation process that comprises four unique challenges, each tailored with specific trading conditions and objectives to cater to different trading approaches.
All the challenges consist of a two-phase evaluation period in which a trader has 35 days for Phase 1 and 60 days for Phase 2. For all challenges, the evaluation begins as soon as you place the first trade:
To initiate The Funded Trader login process, you’re required to first select a trading Challenge and an Account Balance level for qualification. The conditions of your chosen challenge will vary based on the account size you opt for, which also influences the registration fee.
This fee, paid to participate in the challenge, is refundable by The Funded Trader once you achieve the Funded Trader status. For insights into how the registration fees compare across different account sizes, see the Registration Fee comparison table below:
|Fees||The Funded Trader||FTMO||FundedNext|
|Minimum Account Size||$50,000||$10,000||$6,000|
|Maximum Account Size||$400,000||$200,000||$200,000|
|Reset or Test Retake||Yes||Yes||Yes|
|Is Fee Refundable?||Yes||Yes||Yes|
The Funded Trader demonstrates a trader-centric approach with its profit targets. The 8% profit target for the Rapid and Royal accounts stands out as being lower than what is typically required by other proprietary trading firms.
Moreover, this target is further reduced to only 5% during the second phase of the challenge. In terms of the Standard account, the set limits of 5% daily and 10% total are in line with the common industry benchmarks, striking a balance between risk and flexibility for the trader. For Knight account the profit target is 10%.
Each Prop Trading evaluation includes a critical rule concerning loss limits, which traders must adhere to. It’s essential to understand that there are two distinct types of loss thresholds: the Maximum Daily Loss and the Maximum Overall Loss. It’s worth noting that the specific limits set for these thresholds can vary depending on the account type in question.
The Standard Challenge Accounts
The Rapid Challenge Accounts
The Royal Challenge Accounts
The Knight Challenge Accounts
Based on our research, each challenge is designed with its own set of rules regarding the minimum number of trading days required and overall time constraints. However, TFT traders are required to trade profitably for a minimum of 3 or 5 days or no minimum days based on account sizes.
Currently, The Funded Trader does not offer a free trial option. However, they are considering implementing a free trial offering in the future.
Starting with The Funded Trader, all accounts initially receive an 80% share of the profits. However, upon successful completion of the evaluation phase, traders become eligible to increase their profit split up to 90% as a funded trader.
A leaderboard is a ranking or list that displays the performance of traders who are participating in a funded trading program or challenge. These programs are typically offered by proprietary trading firms or platforms, and they allow traders to trade with the firm’s capital or funds after meeting certain criteria or passing a trading evaluation. The Funded Trader also offers a leaderboard with the information of trader’s profit returns.
The Funded Trader Prop Trading Firm provides a range of convenient withdrawal options for funds from your Funded Account. These methods encompass bank transfers, bank cards, e-wallets, crypto wallets, and online banking services.
In reviewing Account Conditions, it’s important to check the broker’s variety of accounts, supported platforms, instruments, costs, and leverage options. Be aware of any restrictions on trading strategies that could risk account termination, necessitating a retest to regain account access. Refer to the detailed breakdown for specifics.
The Funded Trader’s platform offerings are tied to its partner brokers, providing access to the widely-used MetaTrader platforms, MT5 and MT4. For traders who are accustomed to or prefer these platforms, this is a convenient feature. However, those looking for different trading software might need to explore other proprietary trading companies, as The Funded Trader does not offer alternative platforms.
Based on our research, The Funded Trader does not impose restrictions on trading strategies. As long as the trades are legitimate (aligned with sound risk management principles), reflect true market conditions, and avoid prohibited practices, traders are free to implement their preferred approaches.
The Funded Trader offers The Funded Trader Certificate with various promotions from time to time, such as discounted challenge fees or bonuses on successfully funded accounts. These promotions are typically time-limited and subject to certain terms and conditions. It’s always a good idea to check the company’s official website or contact their customer support for the latest information on any ongoing promotions.
When evaluating prop trading options, it’s wise to compare The Funded Trader’s offerings with other firms. Different firms may better match specific trading preferences in terms of instruments and platforms. However, The Funded Trader also presents distinct benefits. For a quick comparison, consult our summary and comparison table of alternatives below:
No news available.