What Is a Funded Trading Account?
A funded trading account gives you firm-supplied capital after you prove you can trade within a defined risk framework. You keep most of the profit; the firm absorbs all of the loss. This guide walks through how the model works, what passing actually requires, and which providers earn the highest scores in 2026.
A funded trading account is capital provided by a proprietary trading firm to a trader who has passed the firm's evaluation challenge. The trader keeps 70-90% of profits and never risks personal capital. The firm covers all losses up to a defined drawdown limit.
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Funded accounts come in two phases. First, the evaluation: you pay a one-time fee (typically $30-300) for access to a simulated account where you must hit a profit target without breaching a daily-loss or max-loss rule. Pass, and you graduate to the funded account, where the firm puts real capital behind your trades and pays you a profit share. The fee is usually refunded on your first payout. We rank providers below across five dimensions: entry cost, profit split, drawdown rules, scaling potential, and payout speed.
Top 5 prop firms ranked
- 1
FundedFast
Our firm96/100Lowest entry of any major firm ($49), 90% profit split, no time limit, and a free competition route via the FundedFast Open.
From $49Split Up to 90%Time None - 2
FundingPips
88/100Slightly cheaper entry at $32 for $5K but caps base accounts at $100K, limiting long-term scaling.
From $32Split 80-100%Time Varies - 3
FTMO
84/100Industry veteran with the longest operating history, but $155 minimum entry and a hard 30/60-day evaluation clock.
From $155Split 80%Time 30 / 60 days - 4
FundedNext
80/100Aggressive scaling to $4M and 24-hour payout guarantee, offset by Comoros incorporation (no regulatory framework).
From $32Split 80-95%Time Varies by program - 5
E8 Funding
72/100Multiple program types but mid-pack across every dimension. No standout strength.
From $48Split 80%Time Yes
How FundedFast handles this
FundedFast funds traders up to $400K in simulated capital after a one or two phase evaluation starting at $49. The catalog runs from $5K to $400K across seven account sizes, with a 90% profit split available at checkout (80% default). Drawdown rules are the industry-standard 5% daily and 10% maximum. There is no time limit on either evaluation phase, which removes the single biggest reason traders fail at competing firms. Funded traders can request payouts on demand via PayPal, bank transfer, or crypto, with a $50 minimum. Where FundedFast falls short: the company is younger than FTMO, the public Trustpilot review count is still under 20 as of April 2026, and account sizes cap at $400K rather than the $2M-$4M offered by FundedNext for traders building toward institutional capital. The free FundedFast Open competition every two weeks gives prospective traders a zero-cost way to test the platform before paying for an evaluation.
When this is not the right fit
A funded account is not a fit if you have not yet developed a tested, repeatable trading edge. The rules of any prop firm are designed to surface inconsistent traders quickly. It is also not a substitute for a real brokerage account if your goal is to trade your own capital long-term; profits are paid out as commission, not capital that compounds in a personal account. Finally, traders in restricted jurisdictions (54 countries listed in the FundedFast terms) cannot participate.
Frequently asked
How does a funded trading account work?
You pay a one-time evaluation fee, then trade a simulated account to a profit target without breaching daily-loss or max-loss rules. Pass, and the firm assigns you a funded account where you trade firm capital and keep 70-90% of profits. The firm absorbs all losses.
How much does a funded trading account cost?
Entry fees range from about $32 (FundingPips' $5K account) to $300+ for $200K accounts. FundedFast starts at $49 for a $5K account and scales to $2,999 for $400K. The fee is usually refunded on your first payout.
Is a funded trading account real money?
The capital is real. The firm pays you actual cash for your share of trading profits. The execution environment is typically a simulated mirror of live broker pricing rather than direct market access, since the firm absorbs your losses without exposing other traders.
What happens if I lose money on a funded account?
Up to the maximum drawdown (typically 10%), you simply continue trading. If you breach the drawdown rule, the account is terminated. You do not owe the firm anything. Only your initial evaluation fee is at risk.
How long does it take to get a funded account?
It depends on the evaluation rules. Two-phase challenges typically take 5-30 trading days per phase. FundedFast and FundingPips have no time limit, so you can take as long as you need. FTMO and FundedNext enforce 30 or 60 day evaluation windows.
Ready to start your first challenge?
From $49. No time limit. Up to 90% profit share. Fee refunded on first payout.