Are you ready to begin your sponsored simulation trading journey? The Funded Trader is a prop firm that allows novice traders to learn and earn through our challenges in order to become funded traders. Even experienced traders who desire to go into full-time simulated trading might benefit.
Traders created The Funded Trader (TFT) to solve a unique problem – access to capital. Trading comes with a huge risk of losing your hard-earned money, but money demo trading can give you access to large sums of money to trade and manage.
To start your funded demo trade trip, you must first pass one of our four competitive challenges: Standard, Royal, Quick or Knight. This comprehensive guide will walk you through each challenge, how to qualify, and most importantly, how to start paper trading with TFT.
Types of Funded Paper Trading Challenges
You must complete the challenge and evaluation process before receiving a paid paper trading account. You can choose one of three challenge paths:
The criteria challenge is a two-step evaluation process. Its demo trade amounts range from $25,000 to $400,000 per volatile or regular account.
In the first phase, traders have 35 days from the date of the first trade to reach the 10% profit target, and the period ends at EST on the last day. During this time, we estimate the drawdown – the difference between the high and low of your paper Funded Trading Account balance. Traders are limited to a maximum daily withdrawal limit of 6% based on the greater of the account’s opening balance and equity. Additionally, traders are not allowed to achieve a maximum total equity withdrawal of 12% of the opening account balance. In addition, you must trade at least three paper trading days in a 35-day period. Once you pass the first stage, you have 60 days to complete the second stage of the challenge. This phase is a little more relaxed – the profit target is lowered to 5%, but you still have to follow the same daily and maximum withdrawal rules. However, at this point you need to trade for at least 6 days. The 60-day period ends at ET on the last day of that phase. The second phase is conducted under real-time simulated trading conditions.
Traders can benefit from additional moves and manage more initial capital. After completing this challenge, you will receive a funded demo trading account.
This is our fastest evaluation plan and you can receive your first payment in as little as 20 days. First, select the amount of capital you want to manage. Ranging from $50,000 to $200,000. The Quick Challenge is also split into two phases.
In the first stage, your profit target is 8% and the maximum daily withdrawal (daily swing loss + closing loss) is 5%. The maximum withdrawal limit is 8% of the first deposit. As in the standard challenge, traders have 35 days from the date of their first trade to reach their goal. The 35-day period ends at ET on the last day of Phase 1. However, unlike the Standard Challenge, the Quick Challenge does not have a minimum demo day. In the second stage, the virtual profit target is lowered to 5%, while the maximum daily withdrawal and the maximum initial deposit withdrawal remain unchanged. The maximum number of calendar days has also been increased from 35 to 60 days. Trading takes place on spot terms in the second phase.
If you meet these paper trading goals, you will pass the evaluation process and qualify for a funded paper trading account. Here you can adjust your virtual profit percentage and claim your virtual profit share after 14 days.
The royal challenge
Royal Challenge also has a two-phase plan, but is more flexible. Here, traders can use their favorite simulated trading tools (including expert advisors and simulated trading news) with no lot size limits. You can also take positions over the weekend – a big bonus for retailers. Challenge Royale demo trading accounts range from $50,000 to $300,000.
The objectives of the first phase include achieving a profit target of 8% within 35 calendar days, a maximum daily payout of 5% and a maximum payout of 10% of the initial deposit. This task requires at least five simulated trading days.
In the second stage, the virtual profit target is set at 5% and the maximum daily withdrawal is the same as the withdrawal of the first deposit. It may take up to 60 calendar days to reach the goal. Like the previous challenges, the second stage also involves simulated trading in real-time conditions. Once you’ve passed the challenge, you’ll move on to the next verification step and sign the Sponsored Reseller Agreement. From there you can start managing a funded paper trading account.
A knight’s challenge
The Funding Trader Knight Challenge is a brand new challenge that was launched recently. The biggest highlight of this challenge is that it is a one step assessment simulated trading challenge. It is best suited for experienced traders who want to make quick money in their funded account.
The virtual profit target is set at 10%. Maximum daily reduction is 3% (4% after scaling). This challenge also offers great flexibility with access to expert advisors and is held on weekends. Knights Challenge offers 1:30 leverage and unlimited lot sizes. Furthermore, there is no upper limit to the simulated trading days – the minimum simulated trading day is zero and the maximum simulated trading day is unlimited.