5 Best Prop Trading Firms in 2023
While Trading you have two options. You can either try to trade your trading account risking your money or you can try to trade a Prop Firm account. Where you normally have to pass a challenge to get access to this account. This is a growing space where are plenty of companies offering these services. So you need to know well which one it’s the one for you. I’m here to help you with this difficult choice of which Prop Firm it’s for you.
What is a Prop Trading Firm?
A Prop trading firm is a company that hires successful and experienced traders. These can have different trading strategies and trade different financial instruments, like for example, such as bonds, options, futures, commodities, forex pairs, and crypto.
Prop Trading Firms or proprietary trading firms can be a huge help for an experienced or beginner trader, these can take the trader to another level and, they can also reduce stress since you are not risking your money. Most of these Prop Firms also offer tools to the trader that can make him evolve in his work, such tools as, a performance coach, trading chats, trading statistics, and professional trading tools all this will help you perform better as a trader.
To gain access to these proprietary trading firms you usually have to pay a registration fee and pass some kind of challenge, each proprietary trading company has its set of rules, but one rule that is equal everywhere is Risk management. These Prop Firms are very clear, they are looking for traders that have a solid trading strategy, can follow rules, and are disciplined, so before trying any of these Prop Firms be on the lookout for this.
Things to be on the lookout for while picking a proprietary trading firm. You need to know what profit targets and drawdowns are allowed, you also need to know which trading platform they offer and if they allow news trading, and which trading instruments they offer, you also want a prop firm that is well-known and respected among prop traders. With this in mind, we prepared a list of the best proprietary trading firms.
List of the top 5 Prop Trading Firms
TFT
The Funded Trader offers a huge variety of challenges so you can pick the one that offers the best set of rules for you
TFF
True Forex Funds is the best company to trade crypto with, they offer great spreads on crypto trading. Full Review
5%ers
If you don’t want to pass a challenge and want to start from day one trading on a real account The5%ers is the prop firm for you
- FTMO
- MY FOREX FUNDS (MFF)
- The 5%ers
- MY FUNDED TRADING
- TRUE FOREX FUNDS
- MyFundedFx
1) FTMO
Challenges:
FTMO offers a 2 part challenge. Challenge and Verification. In the first part (challenge) you have 30 days to make 10% of the account, where you have a 10% max drawdown and a 5% max daily drawdown. This prop firm is ideal if you want to trade forex pairs or indices they also offer an excellent dashboard where you can see your loss limits and profit target, and they also provide tons of data that will develop or trading skills and make you a more experienced prop trader.
Accounts Values:
FTMO offers a variety of trading accounts at different and competitive prices. These registration fees are refunded when you pass the challenge.
- 10k --------- 155 euros
- 25k --------- 250 euros
- 50k --------- 345 euros
- 100k ------- 540 euros
- 200k ------- 1080 euros
They have a max allocation of 400k, but if you maintain your profitability with them every four months, they will grow your account by 25% to the cap of 2 million.
Rules
Profit: 10% on the challenge (you have 30 days) / 5% on the verification (60 days)
10% Max drawdown / 5% daily drawdown
They only allow trading news on the swing account.
Yes in every account.
Forex, Commodities, indices, crypto, stock, and bonds.
Mt4 / Mt5 / Ctrader
80%/20% (Trader / Firm)
If you don’t brake any of the rules and if you end the month positive you get a free retake.
Pros and Cons Of FTMO
PROS:
- Established Prop Firm
- Great customer support
- Great variety of options
- Plenty payment options
- First, withdraw after two weeks
- They offer a swing account
CONS:
- Challenges are more expensive
- Can't trade news on the normal account (only swing accounts)
Conclusion:
FTMO is one of the best Prop trading Firms out there, they offer great customer service and a variety of accounts and challenges and have one of the best sets of rules among the proprietary trading firms.
They also offer great profit splits and a swing account where they have more relaxed trading rules and allow news trading. They also have a blog where they post about their successful traders where you can learn and boost your trading skills.
So if you have the money to invest and are confident in your risk management and trading strategies among all the top proprietary trading firms this is the one for you.
2) MyForexFunds (MFF)
Challenges:
MyForexFunds offers a 2 part challenge. Challenge and Verification. In the first part (challenge) you have a profit target of 8% and have 30 days to reach it, and you have a 12% max drawdown and a 5% max daily drawdown. In the second part, you have 60 days to make 5%.
They allow a variety of trading strategies and also allow trade copiers.
Accounts Values:
MyForexFunds offers a variety of trading accounts at different and competitive prices. These prices are refunded when you pass the challenge.
- 5k -------- 49$
- 10k ------ 84$
- 20k ------ 139$
- 50k ------ 299$
- 100k ---- 499$
- 200k ---- 979$
- 300k ---- 1389$
They have a max allocation of 600k, but if you maintain your profitability with them every four months, they will grow your account by 25% to the cap of 2 million.
Rules
Profit: 8% on the challenge (you have 30 days) / 5% on the verification (60 days)
10% Max drawdown / 5% daily drawdown
They allow trading news on every account.
Yes in every account.
Forex, Commodities, indices, crypto, stock, and bonds.
Mt4 / Mt5
80%/20% (Trader / Firm)
If you don’t brake any of the rules and if you end the month positive you get a free retake.
Pros and Cons
PROS:
- Cheaper Challenges
- Only have to make 8% on the first phase
- Can trade in news events
- 12% Max Drawdown
CONS:
- Only offer Mt4 / Mt5
- First withdraw after one Month
Conclusion:
My Forex Funds offer a great variety of plans at a great price. They also only ask for an 8% profit target on the first part of the challenge and give you a 12% Max drawdown. They also provide a 5k trading account for 49$ which is quite unique in the prop trading firms world.
MyForexFunds is one of the best prop trading firms beginners and forex traders. They provide low low-cost accounts with low-profit targets and high drawdowns. they also extend your trading days if you are in profit and offer excelent profit splits.
If FTMO is the best prop trading firm out here My Forex Funds is a close second. Give it a try
3) The Funded Trader
This proprietary trading firm offers a big variety of challenges you can take. They offer a Standard challenge, Rapid Challenge, Royal Challenge, Swing Account, and Regular account.
Accounts Values: (On the Standard Challenge)
- 25k -------- 189$
- 50k -------- 315$
- 100k ------ 549$
- 200k ------ 949$
- 400k ------ 1898$
The Funded Trader offers a variety of trading accounts at different and competitive prices. These prices are refunded when you pass the challenge.
You can only pass challenges to the amount of 600k but if you keep being profitable with your funded account they will grow your account to the max of 1.5 million dollars
Rules
10% on the challenge / 5% on the Verification
6% max daily drawdown / 12% Max drawdown
3 Days
80% / 20% (Trader / Prop Firm)
Yes you can hold trade on weekends
You can Trade: Indices, Forex, Metals, Crypto
All fees paid are refunded when passing the challenge
The funded Trader Prop Firm allows trading news events
The funded Trader Prop Firm every month hosts a trading competition and gives free accounts to the first 20 places. This is a great strategy if you want to get your hands on a free account.
Pros and Cons
Pros
- Huge vareity of challenges
- Trading news is allowed
- Competion for free accounts
- 12% Max drawdown
Cons
- pricier challenges
- newer Prop Firm
- Challenges start at 25k
Conclusion:
The funded Trader Prop trading firm is on an ascendant path and ready to become one of the best prop trading firms. They offer a huge variety of challenges and a great variety of trading rules for you to pick. You can pick the challenge that suits you better.
If you are looking for a proprietary trading firm that gives free challenges. This might be the one for you, every month you as a prop trader or non-prop trader can sign up for a competition, where everyone has to obide by the same set of rules. The top twenty wins a free challenge.
Sadly they only provide meta trader as a trading platform and only offer accounts starting at 50k which might be harder for beginners forex traders.
4) True Forex Funds
True Forex Funds is a newer prop firm but is a great option if you are a crypto and forex trader.
They offer great spreads for these types of financial instruments, and they also have more relaxed trading rules, like for example in the first phase of the challenge you have 30 days to make 8% but in the second phase your profit target is 4% and you have 60 days to reach it, this is unheard of in the prop trading firm world. They also offer no minimum trading days.
- 10k ----- 80 euros
- 25k ----- 170 euros
- 50k ----- 269 euros
- 100k --- 449 euros
- 200k --- 898 euros
True Forex Funds offers a variety of trading accounts at different and competitive prices. These registration fees are refunded when you pass the challenge.
RULES
First Phase 8% / Second phase 4%
Max Drawdown 10% / Max daily drawdown 5%
They don’t have minimum trading days you can pass the challenge in one trade in one day.
80% / 20% (Trader/ Prop Firm)
If you pass the challenge they will refund your fee
You are able to trade during news events
This Prop Firm is the best out there if you want to trade crypto, they have the best spreads outthere for crypto
Pros and Cons
Pros:
- Best Crypto Prop Firm
- Only 4% on the Second Phase
- Cheaper Challenges
Cons:
- Newer Prop Firm
- Only Offers Mt4 / Mt5
Conclusion:
True Forex Funds is a newer prop trading Firm that offers an amazing set of rules.
They are one of the only prop trading firms that only ask for 4% in the second phase and have no minimum trading days. They also are one of the best in the industry if you intend to be a crypto or forex trader, their spreads are amazing and allow for a low time frame trading strategy.
So if you are looking for a proprietary trading firm to trade crypto and forex pairs with, this is the one for you. If you want to know more about True Forex Funds I have an article about it
5) The5%ers
This prop trading firm offers different types of products. If you are not interested in passing challenges and getting instant funding this is the Prop Firm for you. You can pay a fee a start trading a real account from the start and become a prop trader immediately, making real profits. They offer 3 types of accounts for this plan.
- 24k ---- 235 euros
- 40k ---- 385 euros
- 80k ---- 745 euros
One of the interesting things about this proprietary trading firm is that if you are consistently profitable with your account they will scale that account. They will double your account at every 10% you make to the max value account of 4 million dollars.
This is the Scale Program:
Rules (Low Risk)
Profit Target Level 1 6.2%
Remaining levels 10%
Max Drawdown = 6% for every level
1:10
180 days
50%
4 Milion
Yes The5%ers allows trading during news events
Mt4 / Mt5
The fee is NOT REFUNDABLE
Pros and Cons
PROS:
- No Challenge needed
- Major Scalling plan
- 180 days to make 6.2%
CONS:
- No refundable fee
- Max drawdown 6%
- Payout only 50%
Conclusion:
This is the perfect proprietary trading firm for someone that has great risk management and is confident in his abilities, with these two qualities you can scale up your trading account to 4 million dollars. Another good thing about The5%ers is that they don’t have any time pressure so you can make your profit without worrying about time.
This prop trading firm is more for experienced traders that don’t want to pass a challenge and are confident in their abilities this is the prop firm for them. The only downside is that they only provide meta trader as trading platform and have a low a profit split which is well bellow from the other proprietary trading firms
6) MyFundedFx Review
Overall this is an excellent prop firm to add to your list if you are mainly a forex trader. They have very good registration fees for the funding models, also don’t have broker commissions, no minimum days, very good profit targets, and no consistency rules, but they don’t have the best drawdown in the prop firm world, so if you have more of an aggressive trading style this might not be the prop firm for you. Other prop firms will suit you better
This prop firm also hosts a trading competition every month where the top 20 traders win a free account and on top the top 3 also win prize money.
Almost everything is perfect but if you like to have more drawdowns or mainly trade indices or futures this might not be for you. If you want to know other firms and the best trading prop firms. Here you have a full detailed review of MyFundedFx