Maximum Trailing drawdown is the maximum your account can drawdown before you would hard breach your account. When you open the account, your max trailing drawdown is set at 5% of your starting balance. This 5% trails your closed trading balance until you reach 5% profits in your account. Once you have achieved 5% profit in your account, the Max Trailing Drawdown locks in at your starting balance and no longer trails your account. Example: If your starting balance is $100,000, you can drawdown to $95,000 before you would violate the Maximum Trailing Drawdown rule. Then for example let's say you take your account to $102,000 in closed balance. This is your new high-water mark, which would mean your new Maximum Trailing Drawdown would be $97,000. Next, let's say you take your account to $105,000 in closed balance, which would be your new high-water mark. At this point your Maximum Trailing Drawdown would be locked in at your starting balance of $100,000. So, regardless of how high your account goes, you would only breach this rule if your account drew back down to $100,000 (note, you can still violate the daily drawdown). For example, if you take your account to $170,000, as long as you do not drawdown more than 4% in any given day, you would only breach if your account equity reaches $100,000.
24% Maximum daily loss
Daily Loss Limit is calculated based on the previous day’s end-of-day (5pm EST) balance. Example: If your prior day’s end-of-day balance was $1,000,000 you would breach the daily loss limit of 4% should your equity the next day fall to $960,000. It’s important to understand that if the account balance changes, the 4% will become a different amount. For example, if you trade up and your prior day’s end-of-day balance is $1,000,500, the daily loss limit becomes $960,480. Note that the daily loss limit is related to the prior day’s balance, not equity. This means that your prior day’s balance doesn’t change until you close any trades.
In line with sound risk management practices, we require a stop loss on every trade. If you fail to place a stop loss, we will close the trade that does not have a stop loss. But this is a soft breach rule, so you can carry on trading in your account.
You can withdraw your profits at any time. You can elect to withdraw them on day 1 of your live account, or leave them in your account to grow. Should you request a withdrawal we will withdraw 100% of your request and send you 75% (your profit share). Important Note: Once you achieve a 5% profit in your account, the Maximum Trailing Drawdown is locked in at the amount of your starting balance. This effectively means that any full withdrawal results breaching the Maximum Drawdown rule and closing the account. You can always withdraw all your profits (75% of profit made in the account). Only bear in mind that in case of a full withdrawal your account gets closed.