Prop firm drawdown limitations

Prop firms have different funding programs with various rules which include drawdown limitations.

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Proprietary trading firms offer traders a chance to work with more significant amounts of funds without risking their own capital. However, prop firms have different funding programs with various rules. The drawdown limitations are the main rule that prop trading firms don’t allow you to break during evaluation.

IMPORTANT NOTICE: Proprietary trading firms use different phrases for the drawdown limitation rules, which means that two prop firms can have the exact same phrase used, but a different meaning for their limitation. For exact explanations of drawdown limitations, you should check out the terms & conditions of each presented proprietary trading firm to get the correct knowledge about their limits that you are not allowed to breach!

You can see which drawdown limitations you should focus on for each proprietary trading firm funding process in the spreadsheet below:

Proprietary Trading FirmOne-step Evaluation Drawdown LimitsTwo-step Evaluation Drawdown LimitsThree-step Evaluation Drawdown LimitsDirect Funding Drawdown Limits
E8 FundingMax daily loss 5%, Max overall drawdown 8% (scaleable up to 14%)Max daily floating loss 5%, Max overall absolute drawdown 8% (scaleable up to 14%)
Alpha Capital GroupMax daily loss 5%, Max total loss 10%
AquaFundedMax Daily Drawdown 3%, Maximum Trailing Drawdown 6%Max daily loss 5%, Max total loss 8%
Audacity CapitalPhase 1: 7.5% daily and 15% maximum absolute drawdown; Phase 2: 5% daily and 10% maximum absolute drawdown
Bespoke FundingClassic: Max daily loss 5%, Max loss 10%
Rapid: Max daily loss 5%, Max loss 8%
Blue GuardianMax daily drawdown 4%, Maximum trailing drawdown 6%Unlimited: Max daily loss 4%, Max total loss 8%
Elite: Max daily loss 4%, Max total loss 10%
City Traders ImperiumMax absolute drawdown 6%Max daily loss 4%, Max total loss 10%Max absolute drawdown 6%
Crypto Fund TraderMax Daily Drawdown 3%, Maximum Trailing Drawdown 6%Max daily loss 5%, Max total loss 8%
Direct Funded TraderStandard & Aggressive: Max daily drawdown 4%, Maximum drawdown 7%Max daily loss 5%, Max total loss 10%
FidelcrestNormal Micro: Max daily loss 2%, Max loss 3%
Aggressive Micro: Max daily loss 3%, Max loss 7%
Normal Pro: Max daily loss 2%, Max loss 5%
Aggressive: Max daily loss 4%, Max loss 8%
Finotive FundingMax daily drawdown 4%, Max overall drawdown 7.5%Pro & Classic Challenge: Max daily drawdown 5%, Max overall drawdown 10%Standard: 5% daily and 8% overall equity drawdown, Aggressive: 10% daily and 16% overall equity drawdown
Forex Capital FundsMax daily loss 5%, Max overall loss 10%
Forex Prop Firm4% daily and 6% overallTwo-step: No daily and 12% overall (5% daily and 10% overall once funded)
No time limit Two-step: 5% daily and 10% overall
5% daily and 5% overall
FTUKMax absolute drawdown 8%Max absolute drawdown 8%
FTMOMax daily drawdown 5%. Max overall drawdown 10%
Funded Trading PlusMax daily drawdown 4%, Maximum trailing drawdown 6%Advanced Trader Program: Max daily drawdown 5%, Maximum trailing drawdown 10%
Premium Trader Program: Max daily drawdown 4%, Maximum trailing drawdown 8%
Max daily drawdown 6%, Maximum trailing drawdown 6%
FundedNextExpress: Max daily drawdown 5%, Max overall drawdown 10%
Stellar: Max daily drawdown 3%, Max overall drawdown 6%
Evaluation: Max daily drawdown 5%, Max overall drawdown 10%
Stellar: Max daily drawdown 5%, Max overall drawdown 10%
FunderProMax daily loss 5%, Max overall loss 10%
Funding PipsMax daily loss 5%, Max overall loss 10%
Glow NodeMax daily loss 4%, Max overall loss 8%Max daily loss 5%, Max overall loss 10%
Goat Funded TraderMax daily drawdown 4%, Max overall drawdown 6%No time limit: Max daily drawdown 5%, Max overall drawdown 8%
Classic: Max daily drawdown 4%, Max overall drawdown 10%
Leveled Up SocietyMax daily drawdown 3%, Max overall drawdown 6%Crystal Challenge: Max daily loss 5%, Max overall loss 10%
Diamond Challenge: Max daily loss 5%, Max overall loss 8%
Lux Trading FirmMaximum loss 5% (4% once funded)Maximum loss 5% (4% once funded)
Ment FundingMax daily loss 4%, Max overall drawdown 5%
MyFlashFundingMax daily loss 4%, Max trailing drawdown 6%Max daily loss 4%, Max overall loss 8%
MyFundedFXMax daily loss 4%, Max trailing drawdown 6%Max daily loss 5%, Max loss 8%Max daily loss 4%, Max loss 8%
RebelsFundingMax daily loss 4%, Max drawdown 6%Max daily loss 5%, Max loss 10%Max daily loss 5%, Max loss 10%Max loss 5%
Smart Prop TraderMax daily loss 4%, Max loss 8%
Super FundedMax daily loss 4%, Max overall loss 8%
SurgeTraderOne-phase Audition: Max daily loss 5%, Max trailing drawdown 8%
Lightning Audition: Max daily loss 3%, Max trailing drawdown 4%
Max daily loss 5%, Max overall drawdown 8%
The Funded TraderMax daily loss 3%, Max trailing drawdown 6%Standard: Max daily loss 5%, Max overall loss 10%
Rapid: Max daily loss 5%, Max overall loss 8%
Royal: Max daily loss 5%, Max overall loss 10%
Max daily loss 5%, Max overall loss 10%
The Trading PitMax daily loss 3%, Max trailing drawdown 7% up to 10%Max daily loss 5%
Max drawdown 10% (During $50k & $100k evaluation)
Max trailing drawdown 10% (once funded and on $10k & $20k evaluation)
The5%ersMax daily loss 5%, Max total loss 10%Max overall loss 5% (4% once funded), Daily pause of 3% once fundedMax overall loss 6%, Daily pause of 3%
Top One TraderMax daily loss 5%, Max trailing drawdown 8%Max daily loss 5%, Max overall loss 10%
TopTier TraderMax daily loss 5%, Max overall loss 10%
Trading FundsMax trailing drawdown 6%
True Forex FundsMax daily loss 3%, Max overall loss 6%Max daily loss 5%, Max overall loss 10%

IMPORTANT NOTICE: Proprietary trading firms use different phrases for the drawdown limitation rules, which means that two prop firms can have the exact same phrase used, but a different meaning for their limitation. For exact explanations of drawdown limitations, you should check out the terms & conditions of each presented proprietary trading firm to get the correct knowledge about their limits that you are not allowed to breach!

You can check complete reviews for the proprietary trading firms listed above by clicking here.

This article was lastly updated on 26.02.2024 at 10:04 (CE(S)T).

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