We made the Maximum Trailing Drawdown bigger on the Assessment to give you a better chance of passing. If you have passed the Assessment then you have demonstrated that you can trade within the limits, so trading with a more restrictive limit will not be a problem.

Yes, they are apart from the Maximum Trailing Drawdown and the Daily Loss Limit explained above which is reduced to 5% and 3% respectively.

If you breach the Maximum Trailing Drawdown or the Daily Loss Limit your account will be closed. You will need to retake the Trader Assessment.

If you breach the rules and your account is closed, and you still have a profit balance your profits will be paid to you in accordance with the Profit Share Schedule.

Proprietary trading, also known as prop trading, has both pros and cons. Here are some key advantages and disadvantages of proprietary trading:

Pros of Proprietary Trading:

1. Access to Capital: Proprietary trading firms provide traders with access to substantial capital, allowing them to take larger positions and potentially generate higher profits. This access to capital can be beneficial for traders who may not have the resources to trade with significant amounts of personal funds.

2. Profit-Sharing Opportunities: In many proprietary trading arrangements, traders can share in the profits they generate. This profit-sharing model allows traders to earn a percentage of the gains they make, providing the potential for substantial income and financial rewards.

3. Advanced Technology and Tools: Proprietary trading firms typically invest in state-of-the-art trading platforms, sophisticated analytics tools, and real-time market data. Traders can benefit from advanced technology, enabling them to execute trades efficiently, analyze markets effectively, and make informed trading decisions.

4. Risk Management Support: Proprietary trading firms often have robust risk management frameworks in place. They provide guidelines, risk controls, and oversight to help traders manage and mitigate risks. This support can protect traders from significant losses and promote responsible trading practices.

5. Learning and Development Opportunities: Proprietary trading firms often offer comprehensive training programs, mentorship, and ongoing support to their traders. This learning environment helps traders develop and refine their trading skills, gain valuable market insights, and improve their performance over time.

Cons of Proprietary Trading:

1. Limited Independence: Proprietary traders typically operate within the guidelines and strategies defined by the trading firm. This limited independence can restrict traders’ ability to trade according to their personal preferences and strategies. Traders may need to adhere to the firm’s rules, risk management guidelines, and trading restrictions.

2. Profit Sharing and Loss Coverage: While profit sharing is a benefit of proprietary trading, traders are often required to share a portion of their profits with the firm. Additionally, some programs may also require traders to cover a portion of their losses. This profit-sharing arrangement and potential loss coverage can impact the overall earnings of the trader.

3. Competitive Environment: Proprietary trading is a highly competitive field. Traders must consistently perform well to maintain their position and access to capital. The pressure to achieve profitability can be demanding, and not all traders may thrive in this competitive environment.

4. Capital at Risk: When trading with proprietary funds, traders face the risk of losing both personal funds (if required as part of the arrangement) and the firm’s capital. The high-risk nature of trading can lead to significant financial losses, especially during volatile market conditions.

5. Limited Market Focus: Proprietary trading firms may have specific market focuses or trading strategies. Traders may be limited to trading in certain markets or using specific trading approaches, which can restrict their ability to explore other opportunities or diversify their trading activities.