Which is the most trusted prop firm?
So which Proprietary Trading Firms are better than FTMO? Want to jump straight to the answer? FunderPro is the best alternative prop firm to FTMO for March 2024 .
So which Proprietary Trading Firms are better than FTMO? Want to jump straight to the answer? FunderPro is the best alternative prop firm to FTMO for March 2024 .
Prop businesses nowadays are utterly unregulated and far apart from the banking industry. As a result, these internet prop companies are legitimate and not a fraud. Scammers do exist in the sector, though, and they attempt to exploit the current market because there isn't much oversight.
While it's true that there have been instances of fraudulent prop firms, it's important to note that legitimate prop trading firms do exist, and they indeed pay traders based on their performance. It's crucial to thoroughly research and choose reputable firms with a proven track record.
They offer traders the opportunity to trade with their own capital, as well as access to additional capital from FTMO. This means that traders can potentially earn higher profits while still having the support and resources of a prop firm. Additionally, FTMO offers flexible profit splits for their traders.
FTMO have now restricted access to all new US-based traders as of January 2024. This appears to be related to regulatory issues and may have something to do with the recent My Forex Funds case.
Even though FTMO Traders trade with fictitious capital only, they are entitled to obtain a reward in the form of real money if they can generate “profit” on an FTMO Account.
Having successfully operated since 2015, we provided thousands of clients with their FTMO Accounts, and in total, we have paid out over $160 million. We've also been featured in Forbes and awarded by Deloitte and EY multiple times.
Even in the case of an FTMO Account, the FTMO Trader has access only to a simulated demo account with fictitious capital, i.e. there is no trading with real funds. Therefore, the Trader never gains access to a real "live account" or "margin account" etc.
- FTMO: evaluations starting at $399.
- TopStepTrader: Challenges starting at $375.
- T4tCapital: Flexible evaluation options starting at $299.
- Funded Trading Plus: Starting at $25.
- Earn2Trade: $99 Mini challenge.
- True Trading Group: $49 evaluation with a $25,000 virtual account.
How do you know a prop firm is legit?
Look For A Transparent & Fair Profit-Sharing Model
Legit prop funding firms also offer a transparent, fair, and competitive profit-sharing model. Transparent profit shares are foundational to a dependable and trustworthy prop trading firm.
- Strict Risk Management Rules and Trading Guidelines: ...
- Profit Sharing: ...
- Profit Targets During the Evaluation Period: ...
- Limited Control Over Capital and Payouts: ...
- Lack of Regulatory Oversight: ...
- High Leverage and Margin Requirements: ...
- Financial Risk and Capital Exposure:
The FTMO challenge has a reputation for being extremely difficult to pass. Across FTMO's various account levels, it is estimated that only around 10% of traders are able to successfully complete the evaluation and become a funded trader. This means approximately 90% of those who attempt the challenge end up failing.
According to it, 4% of traders, on average, pass prop firm challenges. But only 1% of traders kept their funded accounts for a reasonable amount of time. While this result is not nearly as bad as the one discussed earlier, it still looks bleak for prospective prop traders. But why is the percentage of failure so high?
Proprietary trading firms often provide evaluation accounts where you prove your trading skills. Usually, you pay a one-time fee to enter this “challenge.” If you lose money during this evaluation, you won't owe anything beyond the initial fee.
Vetting the Prop Firm's Track Record
The first step when deciding on any prop trading firm should be an in-depth look at its reputation and history in the industry. A firm's standing within the trading community will highlight its reliability and ability to support its traders with a secure trading environment.
The FTMO ban in India was reportedly due to concerns about the company operating without proper authorization or regulation in India.
In conclusion, the FTMO 200k account price is $485, which covers the one-time fee for the Challenge and Verification stages. Traders must also deposit a minimum of $5,000 to start trading the $200,000 account.
In the case of the United States of America, FTMO does not accept clients in Louisiana, South Carolina, Montana, Arkansas, and Delaware. FTMO also does not accept clients – legal persons, who are company trusts.
In what appears to be related to the latest MetaQuotes crackdown on the proprietary trading landscape, prop firm FTMO has stopped onboarding US clients, Finance Magnates has learned. New traders attempting to register from a US IP address were unable to complete the registration form.
Can you lose money with FTMO?
At FTMO, we understand that market conditions might vary and that's why we offer our traders a generous 10% Maximum Loss buffer and 5% Maximum Daily Loss. These conditions are in a ratio of 1:1 (loss to profit), which is the top industry standard. Our major aim is to cooperate with experienced traders.
In case FTMO wishes to replicate a client's trades, the replication technology runs in a separate environment without interfering with the account of the client. The trading conditions remain the same on the client's platform, regardless of whether the client's trades are replicated or not.
The fee covers the costs related to the FTMO Challenge provided by FTMO such as the designing, development, and operation of the FTMO platform (the technical infrastructure behind the provided educational services and applications).
You can trade your FTMO Challenge, Verification, and FTMO Account on some of the most popular retail platforms – MetaTrader 4, MetaTrader 5, DXtrade, or cTrader. US nationals/residents are not allowed to use MetaTrader or cTrader platform. You can choose these platforms in the FTMO Challenge configurator here.
It can coerce the trader to execute trades not entirely in line with their strategy. Such overtrading can lead to unnecessary mistakes and losses. With a relatively large number of trades, a trader must take into account that the cost of trading in the form of fees will increase.
References
- https://ftmo.com/en/faq/once-im-in-the-premium-programme-do-i-keep-it-permanently/
- https://eatradingacademy.com/ftmo-free-retake-how-to-easily-get-one/
- https://www.axi.com/uk/blog/education/proprietary-trading-guide
- https://www.quora.com/What-is-the-reason-behind-some-forex-brokers-not-allowing-scalping
- https://citytradersimperium.com/how-to-choose-prop-trading-firm/
- https://ftmo.com/en/watch-out-for-open-losses/
- https://www.earnforex.com/guides/getting-paid-by-prop-firms-isnt-easy/
- https://www.linkedin.com/pulse/can-i-make-money-prop-firm-ivan-andrienko-yvexf
- https://www.linkedin.com/pulse/ftmo-good-prop-firm-datalight-me-cohwc
- https://www.linkedin.com/pulse/how-many-people-fail-ftmo-datalight-me-caqbc
- https://tradersunion.com/brokers/forex/view/ftmo/fees-and-minimum-deposit/
- https://www.quora.com/As-a-prop-firm-trader-have-you-made-money-is-prop-firm-trading-legit
- https://funderpro.com/how-to-pass-the-funded-account-challenge/
- https://www.babypips.com/learn/forex/scalping
- https://mergersandinquisitions.com/proprietary-trading/
- https://www.financemagnates.com/forex/brokers/best-prop-trading-firms-of-2024/
- https://www.forexfactory.com/thread/1067970-prop-firm-hub?page=379
- https://thefundedtraderprogram.com/top-5-prop-trading-firms-beginners/
- https://www.legalmatch.com/law-library/article/ticket-scalping-lawyers.html
- https://www.investopedia.com/articles/trading/05/scalping.asp
- https://ftmo.com/en/faq/is-ftmo-a-trustworthy-company/
- https://www.warriortrading.com/scalp-trading-strategy-for-beginners/
- https://poe.com/poeknowledge/1512928000358234
- https://blog.fundingtraders.com/forex-prop-firm-legitimate/
- https://finance.yahoo.com/news/life-prop-trader-talent-tools-190021851.html
- https://help.thefundedtraderprogram.com/en/articles/6082943-what-s-next-after-successfully-completing-the-funded-trader-simulated-challenge
- https://www.quora.com/As-FTMO-is-now-banned-in-India-will-slowly-all-the-prop-firms-will-be-banned-in-India
- https://www.forexlive.com/Education/what-are-the-5-cheapest-prop-firms-in-2023-20230830/
- https://www.linkedin.com/posts/ejaz-ahmad-469031255_how-much-money-do-you-need-to-open-a-prop-activity-7128258071214108672-PUR9
- https://intercom.help/topstep-llc/en/articles/8284221-funded-rule-violation-faq
- https://www.reddit.com/r/ForexExpertAdvisor/comments/169p8of/the_dark_side_of_proprietary_trading_prop_firms/
- https://luxtradingfirm.com/2023/07/23/6-most-common-reasons-traders-fail-prop-firm-challenges/
- https://www.linkedin.com/pulse/top-best-instant-funding-forex-prop-firm-datalight-me-6pjtc
- https://ftmo.com/en/pros-and-cons-of-daytrading/
- https://proptraders.club/ftmo-banned-usa-clients-heres-our-top-5-alternatives-accepting-usa-traders/
- https://fastercapital.com/content/Scalping-vs--Day-trading--Which-Strategy-is-Right-for-You.html
- https://www.earnforex.com/guides/why-is-prop-forex-trading-bad/
- https://www.myflashfunding.com/blogs/proven-strategies-to-successfully-pass-prop-firm-evaluations
- https://www.start-business-online.com/prop-firms-with-free-trials-a-105.html
- https://www.linkedin.com/pulse/best-prop-firms-forex-seo-marketingcom-wmdmc
- https://www.linkedin.com/pulse/how-long-does-take-get-funded-ftmo-datalight-me-imedc
- https://www.investopedia.com/articles/active-trading/021715/scalping-vs-swing-trading.asp
- https://www.linkedin.com/pulse/my-next-trading-challenge-issue-ftmo-thomas-latty
- https://ftmo.com/en/how-ftmo-works/
- https://www.smartproptrader.com/blogs/prop-firm-challenges
- https://medium.com/@vnuchkovmikhail/can-i-lose-money-in-prop-trading-fda3a668bd1e
- https://www.earnforex.com/guides/funded-account-vs-personal-live-account/
- https://www.linkedin.com/pulse/best-prop-trading-firms-2024-reviewed-experts-traders-union-com-do9zf
- https://ftmo.com/en/faq/step-1-ftmo-challenge/
- https://ofpfunding.com/how-to-avoid-scams-in-prop-trading/
- https://ftmo.com/en/faq/how-do-i-withdraw-my-profits/
- https://www.start-business-online.com/scalping-and-prop-trading-best-prop-firms-for-scalpers-a-131.html
- https://www.linkedin.com/pulse/benefits-joininga-prop-trading-firm-city-traders-imperium
- https://ftmo.com/en/faq/why-is-there-a-fee/
- https://www.linkedin.com/pulse/how-pass-prop-firm-challenge-datalight-me-o6slf
- https://admiralmarkets.com/education/articles/forex-strategy/forex-1-minute-scalping-strategy-explained
- https://www.fantasylife.com/articles/betting/what-is-a-push-in-sports-betting
- https://www.glassdoor.com/Salary/FTMO-Evaluation-Global-Forex-Trader-Salaries-E3823253_D_KO23,35.htm
- https://www.earnforex.com/guides/will-i-owe-money-to-a-prop-firm-if-i-lose-their-funds/
- https://www.start-business-online.com/ftmo-nprpf-1.html
- https://luxtradingfirm.com/2023/11/25/how-long-does-it-take-to-become-a-funded-trader/
- https://www.linkedin.com/pulse/disadvantages-using-proprietary-firmsprop-firms-gina-rash-abvwe
- https://www.td.com/ca/en/investing/direct-investing/articles/scalping
- https://www.binance.com/en/feed/post/1389632
- https://www.quora.com/Can-you-make-a-living-from-prop-firms
- https://www.linkedin.com/pulse/how-much-do-prop-firm-traders-make-datalight-me-hhzpc
- https://www.linkedin.com/pulse/prop-firm-challenge-tips-success-wahyun-a--essnc
- https://www.forex.com/ie/news-and-analysis/what-is-scalping/
- https://ftmo.com/en/faq/how-does-the-ftmo-technical-infrastructure-work/
- https://www.linkedin.com/pulse/cheap-forex-prop-firms-2024-seo-marketingcom-rd0vc
- https://www.myfxbook.com/community/experienced-traders/how-never-fail-prop-trading/2967769,1
- https://www.timothysykes.com/blog/1-minute-scalping-strategy/
- https://seon.io/resources/dictionary/ticket-scalping/
- https://www.linkedin.com/pulse/ftmo-200k-account-price-datalight-me-c6jgc
- https://help.thefundedtraderprogram.com/en/articles/6082922-is-scalping-permitted
- https://www.audacitycapital.co.uk/trading-guides/forex-for-beginners/beginners-forex-proprietary-trading-firms/
- https://ftmo.com/en/faq/which-platforms-can-i-use-for-trading/
- https://www.quora.com/Do-prop-firms-really-pay-I-suspect-all-they-are-scam
- https://ftmo.com/en/testimonials/
- https://forexpropreviews.com/proprietary-trading-firm-hidden-rules/
- https://www.linkedin.com/pulse/cheapest-prop-firms-forex-2024-seo-marketingcom-eap2c
- https://www.investopedia.com/articles/active-trading/012815/top-technical-indicators-scalping-trading-strategy.asp
- https://www.linkedin.com/pulse/tips-passing-prop-firm-trading-challenge-traders-union-com-1nnif
- https://www.financemagnates.com/forex/exclusive-ftmo-halts-us-client-acquisition-amid-metaquotes-crackdown/
- https://pepperstone.com/en-af/education/scalping-and-day-trading-in-volatile-markets/
- https://luxtradingfirm.com/2023/07/30/are-prop-firms-risky/
- https://ftmo.com/en/
- https://www.quora.com/Can-a-proprietary-trading-firm-use-scalping-strategies-to-trade-stocks-forex-and-other-financial-instruments
- https://www.prospertrading.com/best-prop-trading-firms/
- https://ftmo.com/en/faq/how-long-does-it-take-to-become-an-ftmo-trader/
- https://eatradingacademy.com/how-to-pass-prop-firm-challenge/
- https://ftmo.com/en/faq/who-can-join-ftmo/