Fine print: the rules people forget
Lesson 6 of 12 in the course “Prop Trading”. Free, with animations and a quiz.
Minimum trading days
Many firms require a minimum number of trading days, often 3–5, even if you hit the target in one day. A trading day usually means a day with at least one trade opened. Hit the target early? Fill the remaining days with tiny trades so you don’t risk the result.
The consistency rule
At some firms your single best day can’t make up more than a set share of total profit, say 30–50%. The firm wants to see consistency, not one lucky bet. Example: $8,000 profit with a $5,000 best day is 63%. With a 40% cap you’ll have to add profit on smaller days.
News and weekends
On funded accounts you often can’t open or close trades a couple of minutes before and after big news, like the US jobs report (NFP), or hold positions over the weekend. During the exam many firms allow both. Check the rule separately for each account type.
Banned strategies
Almost everywhere it’s banned to trade on price-feed delays, hedge between two of your own accounts, copy other people’s trades, or bet everything on one trade. Such breaches are often found in the review before the first payout, and the payout is refused. Trade honestly by your own plan and this isn’t your problem.
How to read the rules
Before paying, find in the firm’s FAQ: targets per phase, the daily limit and what it counts from, the overall limit and its type, minimum days, consistency, news, weekends, expert advisors (EAs) and bans. Take a screenshot on the day you buy: rules sometimes change, and you need the ones you paid for.
Check yourself
- Mira hit the target in 1 day, but 4 trading days are required. What now?
Correct answer: Fill the days with tiny trades that don’t risk the result. A trading day is a day with a trade. Small trades meet the rule without risking the profit already made. - Consistency rule at 40%. Profit $8,000, best day $5,000. Is the rule met?
Correct answer: No: the best day is 63% of profit, add more on other days. $5,000 / $8,000 = 62.5%, above 40%. More profit on other days is needed to bring the best day’s share down. - What most often gets a first payout refused?
Correct answer: A banned strategy or a broken fine-print rule. Before paying, the firm reviews the trade history. That’s why you read the rules before paying, not after a refusal.
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