$1 Million Funded Account Prop Firm Challenge - Traders With Edge (2024)

FAQs

What is the million dollar prop firm challenge? ›

Traders are required to meet profit targets to complete a $1 million funded account prop firm challenge. These profit targets build the challenge program for traders to prove their skills, talent, and achieve their goals. Choose from a range of trading instruments including forex, crypto, stocks, indices, and metals.

Is Traders With Edge Legit? Yes, Traders With Edge is a legit company.

Recent research shows that between 80 to 99% of traders fail in trading. With the Prop Firm challenges, it's not just about failing or winning. You must be profitable and fulfill certain trading objectives which makes it even harder. Less than 1% of traders who attempt the challenge pass and get funded.

Prop Firm Trader Salary

The salary of a prop trader can vary greatly depending on several factors such as experience, performance, and the size of the firm. On average, a junior prop trader can expect to earn anywhere between $50,000 to $100,000 per year, while a senior trader can make upwards of $500,000 annually.

An FTMO Account is an account with fully fictitious funds, however, with real market quotes from liquidity providers. Please note that, for FTMO Account purposes, liquidity providers do not provide us or FTMO Traders with any real money (liquidity), only with the market quotes.

Yes, prop firms do pay. While there are some scams out there popping up everyday, reputable prop trading firms like True Forex Funds, FTMO,5%ers,FundedNext are legitimate and pay traders according to their profit-sharing agreements. As for True Forex Funds, I can vouch for their credibility.

A trading edge can be a strategy, but it can also be a personality trait or skill that keeps losses smaller while trading. Losses are guaranteed to occur, so an edge either helps you win more trades, or it may help to win big when you do win and keeps losses small when you do lose.

How long a trading edge lasts will depend on the method. Some may last a lifetime or longer, while others may work for a while and then stop working. There is no way to know what will work in the future.

Benefits of Free Prop Firm Challenges

It's a fantastic way to gain valuable experience in a realistic trading environment before risking your own capital. Fast Track to Funded Account: Acing a free challenge can unlock the door to a funded prop firm account.

How many people fail funded accounts? ›

According to FTMO statistics, only about 10% of traders are able to pass the funded account challenge at any account level. This means approximately 90% of aspiring funded traders fail the evaluation and are unable to gain access to the firm's capital.

As a result, anyone can be profitable as a prop trader because profitability is linked to their experience and skills, strategy, and ability to generate gains by trading in the market with the firm's capital.

The article from Lux Trading Firm provides slightly different results. According to it, 4% of traders, on average, pass prop firm challenges. But only 1% of traders kept their funded accounts for a reasonable amount of time.

The biggest reason traders consider a prop firm is access to more capital and keeping a high percentage of the profits. The structure a prop firm gives. Profit targets and risk management rules help traders succeed because they provide an external structure they cannot ignore.

Prop traders spend long hours learning and building their skills as a trader. Later on, they might work 5, 9, or 12 hours a day, depending on their strategy and the market environment.

A Prop Firm Challenge is a structured evaluation process designed to identify skilled traders who can potentially join the prop trading firm and trade the firm's capital. These challenges are a crucial entry point for aspiring traders who wish to access substantial trading capital and the opportunities it brings.

During the FTMO Challenge in the Normal risk account, the Profit Target is set to 10% of the initial balance. In the Verification stage, the Profit Target is always reduced to 50% compared to the first stage (5% in the Normal risk accoun). The Profit Target is present only in the Evaluation Process.

Proprietary trading firms often provide evaluation accounts where you prove your trading skills. Usually, you pay a one-time fee to enter this "challenge." If you lose money during this evaluation, you won't owe anything beyond the initial fee.

For most funded trading accounts, it takes around four to five months to pass the screening process or prop firm trading challenge, before funding will be allocated to a trader.