The Funded Trader

Evaluation Phases

• One-Step Challenges: Knight, Knight Pro, Classic.
• Two-Step Challenges: Royal, Royal Pro, Classic.
• Three-Step Challenge: Dragon.
• Account sizes range from $5,000 to $200,000, depending on the challenge type.

Profit Targets

• One-Step Challenges: Fixed 10% profit target.
• Two-Step Challenges: Step 1 requires 8%, Step 2 requires 5%.
• Three-Step Challenge: Step 1 (8%), Step 2 (5%), Step 3 (5%).

Drawdown Rules

• Daily Loss Limits: Between 3% and 5% depending on the challenge.
• Maximum Loss Limits: Between 6% and 10%, either static or trailing.
• Stricter accounts like Classic enforce 3% daily / 6% max, while Knight Pro and Royal allow 5% daily / 10% max.

Minimum Trading Days 

Unlike most prop firms, The Funded Trader allows traders to move through evaluations at their own pace with no fixed deadlines. The required minimum trading days vary by challenge type:

• Knight Pro & Dragon: 1 profitable day
• Classic: 3 profitable days
• Knight, Royal & Royal Pro: 5 profitable days per phase

Strategy Rules

The Funded Trader enforces strict guidelines to ensure fair play, discourage manipulation and promote realistic trading across all programs.

• VPN / VPS Usage: Allowed during trading but closely monitored for compliance. Suspicious activity, such as irregular locations, may flag accounts. VPNs/VPSs are strictly prohibited during KYC/AML verification and can result in account closure.
• Hedging Restrictions: Cross-account hedging, mirror trading and grid strategies are not permitted, as they artificially create profits in a simulated environment.
• Automated Systems: Use of EAs, bots and trade copiers depends on the challenge type. Some programs allow them with an automation add-on, while others require manual-only trading. Failure to disable automation after inactivity can lead to account locks.
• Prohibited Strategies: Martingale, latency arbitrage, order layering and streak-based risk escalation are strictly banned. Infractions may result in profit removal, account regression, or permanent bans.
• News Trading: High-impact “Red Folder” events have a two-minute restricted window before and after release. Violations can result in profit forfeiture, warnings, or eventual account breaches.

Profit Split

Most account types offer up to 99% profit split after funding. The notable exception is the Classic account types (One-Step Classic, Two-Step Classic), which are fixed at 80% profit split.

First Payout Timing

• Knight & Knight Pro: first payout “Anytime” once profitable.
• Classic One-Step: first payout after 7 days.
• Royal: first payout after 30 days, unless upgraded with the 14-day withdrawal add-on.
• Royal Pro: first payout after 2 days.
• Two-Step Classic: first payout after 14 days.
• Dragon: first payout after 7 days.

Payouts are generally processed in 3-5 business days after the request.

Payout eligibility depends on your challenge type. Some accounts allow you to withdraw profits almost immediately, while others set waiting periods of 7, 14, 21 or 30 days after your first trade.

Scaling Plan 

The Funded Trader allows scaling up to $5 million USD in capital allocation for traders who demonstrate consistent performance.

As traders pass challenges and complete successful payouts (and maintain good performance & compliance with rules), they can move into higher tiers or select larger funding accounts.

Scaling is tied to the account type: e.g. moving from Knight / Knight Pro to Royal / Royal Pro / Classic / Dragon types that allow larger capital sizes and often higher profit splits.

For many account types, profit split increases as the trader performs well over time and completes more payout cycles. For example, most non-Classic accounts start lower (less than 99%) and scale up to 99%. Classic accounts are fixed at 80% without scaling on split.