๐งช Evaluation Rules (Challenge Phase)
๐ 9% Max Loss
What It Means:
You cannot let your account drop more than 9% from the starting balance โ this
includes both closed and open (floating) losses.
Example:
You start with $100,000. If your equity or balance falls below $91,000 at any time, the
challenge is failed.
Why This Benefits You:
This rule gives you enough room to trade with flexibility, while keeping you focused on
smart risk management โ a core habit of successful traders.
๐ 3% Daily Loss
What It Means:
On any given trading day, your equity cannot fall more than 3% from the dayโs starting
balance.
Example:
You start the day with $100,000. If at any point during the day your equity falls to
$97,000, even temporarily, your account will be breached.
Why This Benefits You:
It keeps your emotions in check, discourages revenge trading, and protects your capital
so you can stay in the game longer.
๐ฏ 12% Profit Target
What It Means:
To pass the challenge, you must grow your starting balance by 12%.
Example:
Start with $100,000 โ Your goal is to reach $112,000 to pass.
Why This Benefits You:
This target is achievable for disciplined, skilled traders and filters out gambling. If you
can grow an account by 12%, youโve proven you deserve funding.
๐ Minimum Trading Days: 1
What It Means:
You must place trades on at least 1 separate days to pass the challenge.
Example:
You hit the 12% profit target in 1 Days? Great โYou passed
Why This Benefits You:
It proves you're not just a one-hit wonder. It encourages discipline and helps you develop
real-world trading habits that last beyond funding.
โณ Inactivity: 15 Days
What It Means:
If you donโt place a trade for 15 consecutive days, your account may be closed.
Why This Benefits You:
Staying active helps you stay sharp. This keeps you engaged and in rhythm with the
markets โ an important trait for long-term trading success.
๐ฐ Funded Trader Phase
๐ Daily Drawdown: 3% (LIVE)
What It Means:
Once you're funded, your account cannot lose more than 3% in a single day. This
includes both closed trades and open (floating) losses.
This rule is calculated based on your daily starting equity (i.e., the balance at midnight
broker time). If at any point during the day your equity drops by 3% or more from that
point, your funded account is in violation.
Example:
You begin the trading day with a $100,000 funded account.
If your equity falls to $97,000 or below at any moment, even briefly, the rule is breached.
Why This Benefits You:
This rule encourages consistent performance and protects against emotionally driven
decisions like overleveraging or revenge trading.
By capping your daily risk, you're building discipline and giving yourself more chances to
stay in the game long term.
๐ Max Overall Drawdown: 8% (LIVE)
What It Means:
Throughout the lifetime of your funded account, you're allowed a maximum total
drawdown of 8% from your highest starting balance. This includes all floating losses as
well.
The moment your equity drops below 92% of your starting balance (or any new balance
high watermark), your account is in violation and will be closed.
Example:
You are funded with $100,000.
If at any point your equity drops below $92,000, regardless of how many trades it takes
to get there, the account breaches the rule.
Why This Benefits You:
This ensures youโre treating your funded capital with respect, just like a professional
fund manager.
By enforcing strict long-term risk limits, you avoid deep drawdowns and stay focused on
gradual, sustained growth, not gambling.
Payouts Explained
After passing the challenge, you're funded, and thatโs where the real rewards begin. With
each payout, your profit split increases, payout frequency speeds up, and your minimum
required trading days drop.
Letโs break down each payout level:
๐ฅ 1st Payout
โ Profit Split: 80%
โ Payout Window: Every 14 days
โ Minimum Trading Days: 7
Example:
You generate $10,000 in profit.
โ You receive 70% = $7,000
โ Traded only 5 days? You must trade 7 more before payout is unlocked.
Why This Benefits You:
This first phase ensures you're showing up consistently, but still rewards you generously
right out of the gate.
๐ฅ 2nd Payout
โ Profit Split: 90%
โ Payout Window: Every 14 days
โ Minimum Trading Days: 5
Example:
Earn $10,000 in profit.
โ 80% payout = $8,000
โ Youโve traded 12 days? You're good to go.
๐ 40% Consistency Rule
Rule:
No single trading day should contribute more than 40% of your total profits at the time
of requesting payout.
Why It Matters:
This rule is designed to reward traders who show steady performance over time, not
just one lucky trade. It helps ensure your strategy is repeatable and lowers the risk of
payout abuse.
Example:
Letโs say your total profit is $10,000 when you request payout.
To meet the 40% consistency rule, no single day should have generated more than
$4,000 of that profit.
If you made $6,000 in one day and only $4,000 across the rest, you'd fail the consistency
check and need to keep trading until your profits are more evenly distributed.
๐ธ Minimum 1% Profit Required to Request a Payout
What It Means:
You must generate at least 1% profit in the cycle to request a payout.
Example:
On a $100K account, you must make at least $1,000 to be eligible for a payout.
Why This Helps You:
Ensures that every payout is meaningful. It also encourages strategic, purposeful
trading โ not just meeting minimum criteria.
โ๏ธ Lot Size Consistency
Currency Rule : You can only increase/decrease lot size by 1 lot from your previous
trade.
Example: If you just traded 5 lots, your next trade must be 4, 5, or 6 lots โ not 10.
Why: Prevents erratic lot size jumps and encourages consistent risk management.
Indices Rule: You can only decrease lot size by 0.25 from your previous trade.
Example: If you just traded 1 lot, your next trade must be 0.75, 1 or 1.25 lot - not 10.
Why: Prevents erratic lot size jumps and encourages consistent risk management.
Indices pairs include: Nas100 US30 Spx500 Ger40 Xauusd
Maximum Profit split:
The maximum profit split for any trader is limited to 10% of the starting account size.
โฑ๏ธ Minimum Trade Time: 2 Minutes
Rule: Every trade must be open for at least 2 minutes.
Example: You place a buy on EUR/USD โ you canโt close it after 30 seconds. It must
stay open for 2+ minutes.
Why: Stops manipulation from ultra-fast scalp tactics not sustainable long-term.
Why This Helps You:
Keeps your momentum strong. The more you trade, the sharper your edge becomes.
Staying active helps you stay in sync with the market and your strategy.
All challenges must follow general rules
Regardless of the challenge type (FAST PASS, 1-Step, 2-Step, or giveaway), all traders are required to follow FundedHero's general trading rules.
This includes risk management, lot size consistency, trade time, bot usage, and behavior
policies.
Breaking any of these can result in account breach โ no exceptions. You can review the full rules here: