Not all Funded Trading Companies are good
Funded Trading companies do not all run the same type of business models. We’d like to think that some of them really do want to find great traders as that is what benefits their business model rather than making large sums from customers who can never pass their tests.
Here are the 5 types of funded trading companies you should stay away from:
1. Open a broker account model: these companies force you to open a broker account from which they get paid a large broker commission
2. Re-set fee model: These companies often set difficult to follow rules and tight drawdown limits that force their customers to pay re-set fees
4. Demo account model: The companies make a demo look real and limit your chance of success through unrealistic rules. They often make their money from customer monthly fees.
5. Shared Funded Account: These companies promise that customers will get a large account, but the reality is that successful traders find it is shared with all the other funded traders and they are only able to access a small drawdown sum.