FTMO CHALLENGE – The The Ultimate Breakdown
This article provides a thorough explanation of the FTMO Challenge, including its guidelines, objectives, trader reactions on Trustpilot, and instructions on how to partake.
FTMO OVERVIEW
Established in 2017, FTMO is one of the leading prop firms in the prop industry with a large trader community spreading across more than 180 countries and more than $27 million payout to their traders in the 2021 alone and a whopping up to 90% profit share for their traders.
It is hence easy to understand why there are good testaments about them on almost every trader’s lips, and with a 4.9/5 star rating on Trustpilot, FTMO comes highly recommended for every intending trader.
For a detailed profile of FTMO and all they do including their scaling plan, Trading platforms, and FAQs amidst other things, click here
So how can you join their group of funded traders? There is only one obstacle standing in your way. I’m referring to the FTMO challenge, and I’ve produced this piece to provide you with all the information you need. Follow me.
WHAT IS THE FTMO CHALLENGE?
The FTMO Challenge is a two-stage evaluation process meant to test and assess the trading skills and knowledge of the intending trader and to ascertain if indeed they are qualified to trade the company’s capital.
The challenge is in just two mandatory phases, both of which intending traders are expected to pass before becoming funded. The first phase is dubbed Challenge, and the second, Verification.
READ: Prop Firm Evaluation Challenge Explained – Meaning, Advantages and Disadvantages
Phase 1: Challenge
To begin with, a trader is expected to pay the challenge entry fee that accrues to whichever account size they would like to trade. To this end, it is expedient to mention that there are five available account sizes.
How much do you need for the FTMO challenge?
You need to have at least €155 to participate in the FTMO as that is the cost-price of their least account. However, not to worry. If you don’t have up to that amount yet, you can participate in their free trial.
FTMO CHALLENGE FEE
Below are the various account sizes and the challenge fee:
- The $10,000 account costs €155
- The $25,000 account costs €250
- The $50,000 account costs €345
- The $100,000 account costs €540
- The $200,000 account costs €1080
After the payment is verified, the trader is provided the demo account of the account size they paid for and are expected to commence trading on certain given trading conditions which are examined in the next section.
READ: Prop Firms that Offer Instant Funding
FTMO Challenge General Trading Rules
- Traders are expected to trade for a minimum of 10 days and a maximum of 30 days
- The maximum 5% daily and maximum 10% loss accruing to the account size must be maintained within the set period
- The set 10% profit target is to be met within the stipulated time.
Having examined those conditions, here is they way they apply to each account size
FTMO Challenge – Normal Risk Rules
Maximum daily drawdown Maximum Loss Profit Target
$10,000 $500 $1,000 $1,000
$25,000 $1,250 $2,500 $2 500
$50,000 $2,500 $5,000 $5,000
$100,000 $5,000 $5,000 $10,000
$200,000 $10,000 $10,000 $20,000
If a trader successfully satisfies all of those requirements in the stipulated 30 days, they will receive a mail congratulating and welcoming them to the next stage. The goal of this stage, it should be highlighted, is to test a trader’s abilities and profitability mentality.
Phase 2: Verification
This is the final stage to becoming an FTMO trader. Here, the trader is expected to continue to trading the same demo account but under slightly different conditions.
FTMO Verification Phase General Trading Rules
- Traders must trade for a minimum of 10 days and a maximum of 60 days
- Traders must maintain the maximum 5% daily and maximum 10% loss accruing to their account size.
- Traders must meet the set 5% profit target within the stipulated time.
Having examined those conditions, here is they way they apply to each account size
FTMO Verification – Normal Risk Rules
Maximum daily drawdown Maximum Loss Profit Target
$10,000 $500 $1,000 $500
$25,000 $1,250 $2,500 $1,250
$50,000 $2,500 $5,000 $2,500
$100,000 $5,000 $5,000 $5,000
$200,000 $10,000 $10,000 $10,000
They half the profit target in this phase. Why? The whole essence of this stage is to ascertain a trader’s risk management skill and to prove that their profit making in the first stage was not by sheer luck but adequately worked for.
If a trader successfully satisfies all of those requirements in the stipulated 60 days, they will be upgraded to the live account. Traders can commence a new trading operation where they are entitled to 90% of the profit split after this.
FTMO Normal & Aggressive Risk, the difference
FTMO offers a Normal Risk and Aggressive Risk options on all their account sizes and in both stages of the challenge. The only difference between these accounts exist in the figures. While all of the figurations and regulations stated above are for the Normal Risk account, below are the figures for the Aggressive Risk accounts:
FTMO Challenge – Aggressive Risk Rules
Maximum daily drawdown Maximum Loss Profit Target
$10,000 $1000 $2,000 $2,000
$25,000 $2,500 $5,000 $5,000
$50,000 $5,000 $10,000 $10,000
$100,000 $10,000 $20,000 $20,000
FTMO Verification – Aggressive Risk Rules
Maximum daily drawdown Maximum Loss Profit Target
$10,000 $1000 $2,000 $1,000
$25,000 $2,500 $5,000 $2,500
$50,000 $5,000 $10,000 $5,000
$100,000 $10,000 $20,000 $10,000
Regardless of whether a trader trades the Normal or Aggressive demo accounts, if they meet all the stipulations and succeed, they will be offered a live or funded account. The funded account rules are not so divergent from what the traders experienced with the demo account. In addition, the trader gets a refund of their challenge entry fee if they pass the demo stages! And that is as amazing as it gets!
So, let’s take a while to examine their funded account and how it works, shall we?
FTMO TRADER ACCOUNT
After passing the demo stages, they offer the trader a funded account of the same demo account size they traded. The rules binding the live account are just slightly different and easier here.
FTMO Trader Account General Trading Rules
- Indefinite number of trading days
- The maximum daily and overall of the demo account still to be maintain
- No fixed profit target that a trader must mandatorily meet to continue trading the account.
FTMO CHALLENGE STRATEGY
Whether this would be your first time trading or you are expert trading, you might need to use some help for easy navigation of the two evaluation phases and to boost your success chances. I reckon you take this Udemy course. Click here to enroll.
FTMO FREE TRIAL
FTMO free trial is a special trading platform designed to help traders learn about trading and familiarize themselves with how the market works even if they do not have the money to enter an active challenge yet. This is one of the amazing operations that sets FTMO ahead of other prop companies.
Do you want to try their free trial? You can click here to begin
IS FTMO CHALLENGE WORTH IT?
This is one of the questions that traders often want answers to before risking the evaluation process of any prop firm. While I will give a straight affirmative yes, the challenge reviews will also do a lot of help.
FTMO CHALLENGE REVIEW
WHAT TRADERS HAVE TO SAY ABOUT THE FTMO CHALLENGE
You definitely are not the first person to want to attempt the FTMO trader challenge. Several people have already passed. I outlined a few of their comments from Trustpilot next. They might boost your confidence.
Customer
1 review US
8 hours ago
Verified
Loving FTMO so far
Their IM chat is quick to respond and answer any questions I’ve had. After you pass Challenge 1 you get the coolest emails from the team welcoming you to be a business partner and make money with them.
Pigeon Man
1 review MA
21 hours ago
Verified
FTMO is easily one the best Trading Firms
out there, you pay you get your account instantly. the only bad thing about it is how long it takes I finished my challenge in 1 week but I have to wait for 3 more weeks to get my real funded account.
Victor Castillo
1 review DO
Aug 16, 2022
Invited
Thank you very much in advance.
I decided to take The challenge with FTMO because of people who are satisfied with the company.
My experience in this challenge as a trader of the FTMO company has been wonderful
Kendell Friend
2 reviews US
Aug 15, 2022I failed the challenge in 2021
Basically a full year ago. Now this is the first time I’m getting funded with this firm and I already like it more than the other firm I was using. Trading on weekends is also a plus I didn’t know about that wasn’t available with my other prop firm!
Juan Ramón de Páramo
2 reviews ES
Aug 8, 2022
Fully trusted funding company
I have already been with a verified account with them and received the payments correctly and without any problem. Right now I am in the verification phase of a second challenge. Very happy with them and I don’t consider being with any other company right now.
Thank you very much for existing, if you did not exist it would be impossible for me to trade with so much capital.
Is The FTMO Challenge Hard?
It is clear from the traders’ reviews that the FTMO challenge is not difficult or impossible to pass. You should at least give it a try.
Need other resources to help you understand better? I have you covered.
Here is a detailed video interview of the FTMO owner, where he answered all the questions about FTMO and how it started. It is really a good one to see as it banishes any reservations you may harbor about their genuineness.
Here is another video by Jeffrey Benson that practically shows how to pass the FTMO challenge. You really should see this.
For comprehensive information about FTMO’s profile, including who they are, what they do, profit split, leverage, a scaling strategy, frequently asked questions, and much more, read my FTMO profile post, click here or visit their website.
For more reads on FTMO, click any of the links below:
