Frequently Asked Questions
Everything you need to know about prop firms and futures trading
What is a Prop Firm? (See full details)
- • Trade their money, keep 80-90% of profits
- • Pay evaluation fee ($50-500) to prove skills on sim account
- • Get funded account if you pass
- • Your risk = only the evaluation fee
The Process
Pay fee → Trade sim account → Pass requirements → Get funded account
- • Requirements: Hit profit target (6-10%), stay within drawdown limits, close by 4:59 PM ET
- • Timeline: 1 day to 8 weeks depending on firm
Futures Basics
- • Contracts to buy/sell assets at future dates (not owning the actual asset)
- • Leverage: Control $162,000+ with only $500 margin (ES contract)
- • Popular: ES (S&P 500), NQ (Nasdaq), MES/MNQ (1/10th size for smaller accounts)
- • Hours: Trade 23 hours/day, 5 days/week
- • Must close positions by 4:59 PM ET (varies by prop firm)
Risk Management
- • Drawdown = maximum loss allowed before account closes
- • Types: Static (never moves), EOD Trailing (updates daily), Intraday Trailing (moves with profits)
- • Example: $50K account with $3K drawdown = can't lose more than $3K total
Key Numbers
- • ES: $50/point, $12.50/tick, $500 day margin
- • MES: $5/point, $1.25/tick, $50 day margin
Bottom Line
Low-risk way to access large trading capital. Your max loss = evaluation fee. Success requires discipline and risk management.
Getting Started - Fundamentals
Understanding Futures Trading
Working with Prop Firms
• Rules Change Frequently: All firms regularly update their policies. Always check the firm's website for current rules before starting an evaluation.
• Consistency Rules: Most firms now enforce consistency rules on funded accounts to prevent gambling behavior.
• Payout Processing: While approval times vary, actual fund transfers depend on your bank and payment method.
• Multiple Accounts: Most firms allow multiple evaluation accounts, but each must pass independently.
We are NOT a prop firm.
We are an independent comparison and review website. We cannot:
- • Provide trading accounts or evaluations
- • Process prop firm payments or refunds
- • Resolve disputes with prop firms
- • Access your prop firm account information
- • Provide account-specific support for prop firms
For prop firm-specific issues, please contact the prop firm directly through their official support channels.
We do NOT provide financial advice. If you have questions about trading strategies, risk management, or investment decisions, please consult with a licensed financial advisor.