Pass the challenge, get a funded account, and keep up to 90% of your profits — without risking your own capital.
Compare Prop Firms ↓ How it WorksA proprietary trading firm (prop firm) is a company that provides capital to skilled traders. Instead of trading with your own money, you trade with the firm's capital — and split the profits according to a pre-agreed ratio (typically 80/20 or 90/10 in your favor).
Prop firms evaluate traders through a challenge phase — a simulated trading account where you must hit a profit target while respecting strict risk rules. Pass the challenge, and you get access to a real funded account with the firm's capital.
Traders with a consistent strategy who want more capital to trade with — without the personal financial risk.
You keep 80–90% of every dollar you make trading the firm's account. The rest goes to the firm.
Only the challenge fee (typically $100–$600). If you fail, you lose the fee — not thousands of your own trading capital.
Most prop firms use a 1 or 2-phase evaluation model. Here's the typical flow:
Trade a demo account to hit the profit target (typically 8–10%) while respecting max drawdown and daily loss limits. Time limit is usually 30–60 days.
A second evaluation phase with a lower profit target (typically 5%) to confirm consistency. Same risk rules apply. (Some firms skip this phase.)
You pass — you get a live funded account with the firm's real capital. Start trading and receive payouts at regular intervals (bi-weekly or monthly).
Many firms offer scaling plans — hit consistency milestones and your account grows (e.g., from $25K to $50K, $100K, and beyond).
| Rule | Typical Requirement | What Happens If Breached |
|---|---|---|
| Profit Target (Phase 1) | 8–10% of account | N/A — must be reached to pass |
| Profit Target (Phase 2) | 5% of account | N/A — must be reached to pass |
| Max Drawdown | 10–12% (total) | Account closed / fail |
| Daily Loss Limit | 4–5% per day | Account closed / fail |
| Minimum Trading Days | 4–10 days | Must be met before passing |
| Time Limit | 30–60 days (or unlimited) | Challenge expires (some firms: none) |
You receive a funded account with the firm's real capital. Payouts are processed bi-weekly or monthly via bank transfer, crypto, or PayPal. The firm absorbs all losses beyond your max drawdown limit — you lose nothing extra.
Prop firms unlock opportunities that are out of reach for most independent retail traders.
Access $10K to $200K+ in trading capital without putting your own savings at risk.
The best prop firms offer profit splits heavily in your favor. You do the work, you keep the money.
If you lose on a funded account, you lose the account — not your personal money. Your liability is capped at the challenge fee.
Perform consistently and the firm grows your account — from $25K to $100K, $200K and beyond.
100% remote, fully online. All you need is a laptop and an internet connection.
The strict rules force you to trade with discipline — making you a better, more consistent trader overall.
We reviewed the best prop firms for forex traders. Here's the full breakdown.
* Data based on $25,000 standard account. Always verify current conditions on each firm's website.
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