FTMO vs. Funded Trading Plus: A Comprehensive Comparison for Aspiring Traders
In the world of proprietary trading, firms like FTMO and Funded Trading Plus have garnered significant attention for offering traders the chance to trade with substantial capital. Both platforms provide an opportunity to manage funded accounts after passing a series of evaluations, but they differ in several aspects, including the evaluation process, profit-sharing models, risk management, and more. In this article, we will compare FTMO and Funded Trading Plus, helping you decide which one is the best fit for your trading goals.
1. Overview of FTMO
What is FTMO?
Founded in 2015, FTMO is one of the most popular proprietary trading firms in the industry. It provides traders with the opportunity to prove their skills and earn a funded account, where they can manage significant capital. FTMO has established itself as a trusted firm, especially among forex traders, though it also supports trading in commodities, indices, and other financial instruments.
Key Features:
- Trading Instruments: FTMO offers access to a wide range of instruments, including forex pairs (EUR/USD, GBP/USD), commodities (gold, oil), and indices (S&P 500, NASDAQ).
- Evaluation Process: FTMO’s evaluation consists of two stages: the FTMO Challenge and the Verification Phase. Traders must meet profit targets while adhering to risk management rules, including daily loss limits and maximum drawdown.
- Account Sizes and Scaling: FTMO provides account sizes ranging from $10,000 to $200,000. Traders can scale their accounts as they prove consistent profitability.
- Profit Share: Traders who pass the evaluation can earn up to 90% of the profits, making FTMO one of the most competitive profit-sharing models in the industry.
- Risk Management: FTMO enforces strict risk management rules, including daily loss limits, maximum drawdown, and a minimum number of trading days. These rules ensure that traders focus on risk discipline alongside profitability.
2. Overview of Funded Trading Plus
What is Funded Trading Plus?
Funded Trading Plus is a proprietary trading firm that has emerged as a strong contender in the industry, offering traders the chance to manage funded accounts after completing a comprehensive evaluation. Established with the goal of providing traders with a straightforward and transparent path to earning capital, Funded Trading Plus has gained popularity for its flexibility and trader-friendly approach.
Key Features:
- Trading Instruments: Funded Trading Plus offers access to a wide variety of instruments, including forex, commodities, indices, and cryptocurrencies, giving traders flexibility in their trading approach.
- Evaluation Process: The evaluation at Funded Trading Plus consists of two stages, similar to FTMO: the Challenge Phase and the Verification Phase. Traders must meet specific profit targets while adhering to risk management rules, such as maximum drawdown and daily loss limits.
- Account Sizes and Scaling: Funded Trading Plus offers account sizes ranging from $10,000 to $200,000, with opportunities for scaling as traders demonstrate consistent performance and profitability.
- Profit Share: Funded Trading Plus offers a competitive up to 90% profit share, allowing traders to retain the majority of their profits once they pass the evaluation process.
- Risk Management: Funded Trading Plus emphasizes sound risk management with strict drawdown limits and daily loss caps, designed to protect the trader’s capital and ensure consistent profitability.
3. Evaluation Process: FTMO vs. Funded Trading Plus
Both FTMO and Funded Trading Plus have similar evaluation structures, consisting of two phases designed to test traders’ skills in profitability and risk management. However, there are differences in the rules, timeframes, and overall structure of the evaluation.
FTMO Evaluation Process:
- FTMO Challenge: The first stage of FTMO’s evaluation is the FTMO Challenge, which lasts 30 days. During this phase, traders must achieve a profit target of around 10-20% of the account size, depending on the account chosen. The trader must also adhere to strict daily loss limits (typically 5%) and a maximum drawdown of 10%.
- Verification Phase: After completing the FTMO Challenge, traders move on to the Verification Phase. The profit target is the same as in the Challenge phase, but traders are given 60 days to meet the target, and the risk management rules are more lenient.
- Minimum Trading Days: FTMO requires traders to complete a minimum of 10 trading days during the evaluation process, ensuring that traders can demonstrate consistency over time.
Funded Trading Plus Evaluation Process:
- Challenge Phase: The Challenge Phase at Funded Trading Plus typically lasts 30 days as well. Traders are required to meet a profit target, which is generally 10-20% of the account size. Like FTMO, traders must adhere to a daily loss limit (around 5%) and a maximum drawdown limit, typically set at 10% of the initial balance.
- Verification Phase: After passing the Challenge, traders enter the Verification Phase. In this phase, the trader must meet the same profit target, but with a longer timeframe (usually 60 days). Risk management rules are similarly strict, and traders must continue to demonstrate profitability and risk discipline.
- No Minimum Trading Days: One key difference between Funded Trading Plus and FTMO is that Funded Trading Plus does not impose a minimum number of trading days during the evaluation process. This can be appealing to traders who prefer more flexibility.
4. Profit Share and Payouts: FTMO vs. Funded Trading Plus
Both FTMO and Funded Trading Plus offer competitive profit-sharing models, with both firms allowing traders to keep up to 90% of their profits once they pass the evaluation process.
FTMO Profit Share:
- Profit Share: FTMO offers a 90% profit share to traders who pass the evaluation and manage funded accounts successfully. This profit share is one of the highest in the industry.
- Scaling: FTMO offers the opportunity for traders to scale up their accounts as they continue to demonstrate consistent profitability. Traders can scale their accounts by increasing their profitability without violating risk management rules.
- Payout Frequency: FTMO typically offers payouts on a monthly basis, and traders can withdraw their profits at the end of each month.
Funded Trading Plus Profit Share:
- Profit Share: Funded Trading Plus also offers a 90% profit share, which is competitive and aligns with FTMO’s model. Traders can retain the majority of their profits once they pass the evaluation and start trading with a funded account.
- Scaling: Funded Trading Plus offers scaling options as well, allowing traders to scale their account size as they prove their consistency and performance.
- Payout Frequency: Funded Trading Plus offers flexible weekly or monthly payouts, giving traders the option to withdraw their profits on a more frequent basis than FTMO.
5. Risk Management: FTMO vs. Funded Trading Plus
Risk management is crucial for proprietary trading firms, and both FTMO and Funded Trading Plus enforce strict rules to ensure that traders adhere to sound risk management practices.
FTMO Risk Management:
- Daily Loss Limit: FTMO enforces a 5% daily loss limit per account, meaning traders cannot lose more than 5% of their account balance in a single trading day.
- Maximum Drawdown: FTMO has a 10% maximum drawdown rule, which limits the total loss allowed on an account. Traders who hit this drawdown limit will be disqualified from the evaluation process.
- Minimum Trading Days: FTMO requires traders to complete at least 10 trading days during both the Challenge and Verification phases to ensure they can demonstrate consistency.
Funded Trading Plus Risk Management:
- Daily Loss Limit: Funded Trading Plus also enforces a 5% daily loss limit, similar to FTMO’s rules.
- Maximum Drawdown: The maximum drawdown at Funded Trading Plus is 10%, which is in line with FTMO’s rules.
- No Minimum Trading Days: Unlike FTMO, Funded Trading Plus does not require traders to complete a minimum number of trading days during the evaluation process. This gives traders more flexibility in how they approach the Challenge and Verification phases.
6. Conclusion: FTMO vs. Funded Trading Plus – Which is Right for You?
Both FTMO and Funded Trading Plus offer excellent opportunities for aspiring traders to prove their skills and earn funded accounts. While both firms share some similarities, such as offering competitive profit-sharing models and emphasizing strict risk management, there are key differences that may influence your decision:
- Choose FTMO if you value a well-established, globally recognized prop trading firm with a structured and rigorous evaluation process. FTMO is ideal for traders who appreciate having a minimum number of trading days during the evaluation process and want to work with a firm that has a proven track record.
- Choose Funded Trading Plus if you prefer more flexibility in the evaluation process, particularly the absence of minimum trading day requirements. Funded Trading Plus also offers more frequent payout options and slightly more relaxed rules regarding the evaluation timeframe.
Both firms offer the same 90% profit share and have similar risk management structures, so the decision will largely depend on your personal preferences regarding evaluation rules, payout frequency, and flexibility.
In the end, both FTMO and Funded Trading Plus offer great opportunities for traders to access funded accounts and scale their trading careers. It all comes down to which firm aligns better with your trading style and goals.
