You receive $4,800 (plus they also in addition refund your challenge fee whatever that was. With FTMO your beginning profit split is 80-20 (you do have the opportunity over time to have You start you funding live account and in the 1st week you do not violate any rules and you generate $6,000 in profits. Let's use the same figures as topstep for arguments sake and say that your FTMO account is $150,000 starting balance and you have a $4,500 max drawdown -in the case of FTMO it is considered a fixed max drawdown below the zero line (which $4,500 below $150,000 starting balance would be $145,500) -fixed- meaning it stays the same even if you withdraw 100% of your profits every pay period The only way for you to have any "funding" is to keep your profits in the account (which still means the funding has been taken away) and if you decided to do that instead of withdrawing all profits then now you are trading on your profits only as the "funding" and now you are paying Topstep 10% of all profits you generate from that point on Ok- the starting account balance is $150,000- after withdrawing your $6,000 in profits your account balance is now $150,000 (which $150,000 is effectively the $0 line) Since you have withdrawn all profits and your account does not have any balance left above $150,000 (the $0 line) you have effectively "closed" your funded account as Topstep has taken away the funding below the zero line (below $150,000) so no more drawdown available and thus no more trading for you. "Once the payout request is processed, the Trailing Max Drawdown will be automatically set to the starting account balance (the trader cannot allow the account balance to reach or go below $0 after a payout)." Now here is my opinion and interpretation of what the above means (if I am wrong then please correct and clarify)įor this example we will use the $150,000 account size that has a TMDD (Trailing Max Drawdown) of $4,500 To make your TMDD $0, you will need to reach the corresponding levels of profits (dictated by your account size):īelow is a list of all account sizes and their corresponding TMDD for reference: To maintain your Topstep account for an extended period of time and take regular payouts, we recommend making your TMDD $0 before considering a payout. If you take any payouts before your Trailing Max Drawdown (TMDD) reaches $0, your TMDD will automatically be set to $0 with a payout. WHEN SHOULD I START TAKING PAYOUTS FROM MY FUNDED ACCOUNT? Once the payout request is processed, the Trailing Max Drawdown will be automatically set to the starting account balance (the trader cannot allow the account balance to reach or go below $0 after a payout). If you receive a payout of $5,000 and then lose your Funded Account, your next Funded Account payout will be 90/10 when you start back up again. After the first $5,000 of funds have been received by the trader, the profit split will become 90/10, with the trader receiving 90% of payouts and Topstep retaining 10% of the requested payout. Traders will receive 100% of the profits from payouts, up to a total of $5,000. ![]() ![]() Now-I don't know about you-but what I would be looking for is a long term partnership whereby the funding firm provides perpetual funding that (as long as I trade within the rules) they will provide risk capital for me to trade with and that I am not "penalized" for withdrawing 100% of my profits every allowable pay period-meaning that I can with withdraw all profits generated each pay period and the next day still have the firm put up the same starting risk capital for me to have to trade with. There are several reasons in my opinion that Topstep and other firms that have a rule where in your funded account if you make your Drawdown in profits (or in the case of the example you posted (if you make your Drawdown in profits+$100 it would stop trailing)Īre inferior funding solutions for traders when compared to other funding firms when, (and if), traders actually take the time to read and analyze the fine print and details of each firm.įor example-Let's take a look at some of the details of the "live" funded account as that, in my opinion, is the most critical component -as that is how a trader is going to make his/her living if they have a goal of trading full time to support themselves and their family and using the "funding capital" of the provider firm to trade with.
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