When you become a funded trader, usually a cloud of insecurity gets on and you ask yourself, can I be profitable for a longer period of time and can I live from trading?
The answer to both questions is yes, but trading is a tough job, and your psychology should be proper for this to be achieved. First of all your risk should be adjusted especially if you did not have larger funds before becoming a funded trader, also leverage will give you, even more, buying power (our funded trader accounts leverage is 1:50). Keep in mind that trading bigger lot sizes can lead to larger gains and also it could lead to larger losses. If you limit the loss for each trade then you can ride on larger gains without the fear of large losses and you can be profitable for longer with a win ratio above 60% (which is excellent). For example, our contract is extended always as long as you are profitable and you can withdraw your profit two times per month which can be enough for your financial well-being.
Easy to say isn’t it? In reality, traders usually when begin to have larger gains in the account, lose discipline and then risk more and more which eventually decreases their win ratio over time and their losses become dominant, and if you are a funded trader when you reach the maximum allowed loss you will get your account blocked for trading and closed.
Trading with large capital on the account is the same as trading with smaller capital, in order to be profitable you need to have your risk per trade the same. It is particularly hard to achieve that in real trading as all the traders are facing the same obstacle, they want more and more profit when they are profitable. On the contrary, you need to pull the plug when you are in the profitability zone and continue trading with the same risk per trade. That is the only way to keep your win ratio adjusted as it was at the beginning of your trading.
That is why the maximum allowed loss for our funded accounts is $7000 for 50 and 100k and $14000 for 500k, as we want to decrease our risk of funds loss and keep you in the profitable zone for a long period of time.
Now think how many times you have faced this dilemma and those problems mentioned in your own trading account. Certainly many times otherwise you would not read this article. The answer to those dilemmas and insecurity is practice by trading and experience but you don’t have always funds aside for trading and that is where we jump in by providing it for you and creating a supportive environment for you to succeed.