As soon as you search for a prop firm on Google, you will get plenty of results. Most of them seem reliable, but since scammers have gotten better at fooling people over the years, you never know who to trust. That’s why we prepared The Funded Trader review for you.
Companies like The Funded Trader have received many positive reviews – but also negative ones. However, the number of positive reviews often exceeds the bad ones, recommending the firm and its services to all traders. Cases of companies interfering with reviews to create fake good ones are not a new thing, though, so you cannot always trust them either.
What should you do when you want to try out The Funded Trader but have no idea whether it can be trusted or not? This company offers great things: high leverage, amazing profit split, and many others. Before you try it, though, you may want to check out our comprehensive review.
The Funded Trader – Overview
The Funded Trader is a prop firm that was established by Forex League and VVS Academy back in 2021. It’s pretty new – therefore, traders may be a bit more hesitant to try it for capital.
However, it is well-known for its globally funded trader program. It provides up to $1,500,000, an enormous amount that many want to take advantage of. Their profit split is up to 90%. On top of that, they provide high leverage and various funding options.
The firm has an office based in the United States.
What Makes The Funded Trader Unique?
The Funded Trader is not an exclusive company for trading accounts. It has many competitors, and traders looking for an excellent funded trader program are wondering what The Funded Program has to offer.
This firm definitely stands out in many ways through its offers, as you’re about to find out.
Various Free Challenges Available
If you look at other funded account options, you will notice that the other prop firms will have you go through a series of challenges as long as you pay a specific fee. Well, what makes The Funded Trader different is the fact that it also offers several free challenges.
And this is not just a way for them to attract more customers. Their offers are very good, and it’s clear they also want to help forex traders in need.
Customers have the chance to open a demo account with MyFxBook and link it to The Funded Trader. Then, they can join a free challenge that could grant them a $100,00 prize.
Sure, not everyone will win this amount – only those who obtain great results can get their hands on it. But that doesn’t mean you should not try. On the contrary, it is a nice opportunity and even better than the firm offering this chance.
Many prop firms do not make an effort to choose the best brokers on the market. Instead, they go for brokers that are shady and put traders at risk. This is not the case for The Funded Trader, though.
The company offers Nash Markets and Purple Trading, two outstanding brokers that suit multiple trading strategies and styles. Not only are they safe, but they are also convenient for all types of forex traders.
On top of offering free challenges, The Funded Trader also comes with a One-Step Challenge, something that you do not get from other firms. This challenge will end up with you earning $100,000 in your account, making it much easier for anyone to obtain capital for their trades.
There are no time limits, which means that traders will be able to take their time with the challenge and do their best to win the money. Then, after completing a simple verification process, traders get live accounts.
The only thing you should know is that the enrollment fee is a bit high, but it is worth it since you will have better rules and will receive funding.
A Good Leaderboard
Several prop firms offer leaderboards, but they often filter them a lot. The Funded Trader also offers a leaderboard, and the good news is that there aren’t that many filters. Actually, they let their users discuss everything that could help them succeed in their endeavors, such as market strategies and moves.
Not only that, but they can give each other tips and talk about what needs to be improved in their strategy. So, the leaderboard feature is quite useful.
How Can You Get Funded by The Funded Trader?
When you look into The Funded Trader, you do it for one particular reason – to obtain funding. You already know that TFT is very rewarding for consistently profitable forex traders, but how exactly do you get that funded account that you desire from this proprietary trading firm?
Here are the different ways you can get funding:
The Standard Challenge
The Standard Challenge is great for new forex traders. It offers capital up to $400,000, and you have to pay a specific one-time fee to join. Generally, you can expect to pay between $315 and $1,798 to take this challenge. What’s great is that if you manage to pass the standard challenge, you will get this sum back, regardless of how much you paid. But the opposite is true, too – if you lose, you will not be entitled to a refund.
This challenge has the typical system that most challenges in the industry have. It features two phases. The first one must be completed within 35 days with a 10% profit target. On top of that, there is a 6% daily drawdown and a 12% overall maximum drawdown.
As for the second stage, it must be completed within 60 days with a 5% profit target. The drawdown rules are the same as the ones from the first phase.
Once you pass both stages, you can obtain the funding you desire. Once you join the funded traders group, you will be allowed to make withdrawals every month and keep 80% of the profits. What is even better is that once every three months, you might get a 25% capital increase based on the results and consistency of the trades.
While it can be a great challenge for beginner traders, it is not necessarily the best or easiest one, so you should bear that in mind before joining.
The One Step Challenge
If you are new to the world of forex trading and you don’t think you would do well with the standard challenge, there is an easier option for you: the one-step challenge. Not many other proprietary trading firms offer this, making The Funded Trader one of the top companies in this respect.
This challenge is extremely easy. Instead of going through various phases before getting any capital, you only go through one short stage. Besides, the rules are quite easy too.
Within a daily 6% drawdown and an overall maximum drawdown of 12%, you have to reach a profit target of 10%. You also have to use a leverage of 1:200. There are no time limits either.
You will enjoy a 40% profit split when you complete the challenge successfully. And that is not all: you will receive your initial purchase back as well.
What makes this challenge amazing compared to the others is that it not only gives more inexperienced traders the chance to obtain funding, but it also ensures you get that capital faster. You do not have to spend weeks trying to win different challenges. Once you go through one phase and complete it, that capital is yours to use.
The Rapid Challenge
Lastly, there is the rapid challenge, one that is perhaps more suitable for traders with more experience. You have to pay a little more to join it, but it can bring you some nice capital in a shorter amount of time. In order to join, you need to pay a small fee, which typically ranges from $299 to $899.
The key here is to follow the rules and be profitable. You have an overall maximum drawdown of 8% and a maximum daily drawdown of 5%. The leverage is 1:100, no matter the type of account.
This challenge has two phases. The first one has a profit target of 8%, and you must complete it within 35 days. Then, the second one has a profit target of 5%, and you must complete it within 50 days.
Traders can pick between three different account sizes: $50,000, $100,000 and $200,000. If you are successful with the challenge, you can receive funds instantly, and you will get back your initial fee.
There will be an 80% first profit split and a 90% profit split after that.
What Instruments Can You Use?
The Funded Trader is not playing around – it wants to give all traders a pleasant experience. Therefore, it offers every standard trading instrument for them. That being said, you can trade indices, commodities, and forex pairs.
At the same time, crypto cannot be traded with a funded account. This is all because the volatility is very high in this case.
Also, depending on the size of your account, each instrument in a real account will have maximum exposure for risk management purposes.
Are Payouts Fast?
The amount of time it takes to withdraw your profits depends on the challenge you went through.
With the standard challenge, you have to wait 30 days after placing the trade until you are able to withdraw profits for the first time. Then, for the following payouts, you can make them 14 days after making the trade.
As for the rapid challenge payouts, you will be able to withdraw 80% of the amount 14 days after making the trade. Again, this applies to each trade you make.
Also, the second withdrawal will give you a profit split of 85%, and the third one will give you 90%. After the second and third payout, all the next withdrawals will have a profit split of 80%.
Pros and Cons of The Funded Trader
It’s easy to see why so many traders would choose The Funded Trader. It has many things to offer, and the features are convenient for the most part. But just like any other prop firm out there, TFT has some drawbacks. Let’s take a look at the pros and cons of the company, so you know what you’re getting into:
- Overnight Holding – For a 10% profit target, you need weekend and overnight holding – something that The Funded Trader offers. Therefore, swing traders, day traders, and anyone else will have more chances to work towards a favorable outcome.
- A One-Step Challenge – Nobody is obligated to go through different challenge phases to become a funded trader. The one-step challenge offered by the firm is short and can give anyone access to capital very fast. It is a great challenge for beginners as well.
- Good Leverage – The Funded Trader offers leverage of 1:200 on forex pairs, allowing more traders to meet their profit targets.
- Good Reviews – For the most part, The Funded Trader has positive reviews. On TrustPilot, the company has a rating of 4.9 stars out of 5. That is almost the maximum rating.
- Great Profit Split – The profit split is generally advantageous for traders. On a scaling plan, you get a 90% profit split. Standard accounts get a profit split of 80%.
- Different Trading Instruments Available – TFT offers various trading instruments, such as indices, commodities, and forex pairs.
- Slow Customer Support Response – Although the customer support team is reliable and helpful, they tend to take a long time to respond.
- No Free Trial – For now, the firm doesn’t offer any free trial.
The Bottom Line
The Funded Trader is a great prop company. It has developed a lot since its establishment and will continue to evolve thanks to its great rules and challenges, but also the great leverage, leaderboard, and profit split. It is a good service for both new and experienced traders, so no matter how long you have been trading, you will surely find something that suits your strategy with TFT.