Skip to main content

Prohibited Trading Practices at YRM Prop

Fair Trading Standards and Account Integrity Guidelines

Updated over 3 weeks ago

YRM Prop enforces specific rules to maintain fair trading conditions, protect account integrity, and ensure long-term sustainability across all programs. While we support a wide range of trading styles, certain practices are prohibited because they introduce excessive risk, manipulation, or unfair advantages.

Violations may result in payout denial, account termination, or permanent bans.


What Is Allowed (Important Updates)

✅ News Trading (Effective February 1st, 2026)

News trading is now fully allowed across all YRM Prop accounts.

Traders may:

  • Open new positions during news events

  • Hold positions through economic releases

  • Trade volatility during high-impact announcements

Important note:
Trading during news can involve higher volatility, slippage, and spreads. These are market conditions outside YRM’s control. Traders are responsible for managing risk appropriately.


✅ Copy Trading & Trade Replication

Copy trading is allowed under the following conditions:

Allowed

  • Using YRM’s internal copy trading tools

  • Using external trade copiers to manage your own YRM accounts

  • Running the same strategy across multiple accounts

  • Copying trades across firms as long as it is not used for hedging or offsetting risk

Not Allowed

  • Copy trading used to hedge positions (e.g., long on YRM, short elsewhere)

  • Coordinated trading between multiple people

  • Using copy trading to manipulate payout rules, risk limits, or account metrics

Copy trading must be used for strategy execution, not risk neutralization or abuse.


Prohibited Trading Practices

1. News Straddling & Manipulative News Exploits

While news trading is allowed, manipulative news straddling is not.

Prohibited behavior includes:

  • Placing opposing buy and sell orders simultaneously to trap volatility

  • Using bracket orders designed to guarantee fills on both sides

  • Structuring trades purely to exploit simulated fill mechanics

Directional trading during news is allowed. Manipulative structures are not.


2. Improper Hedging

Hedging designed to manipulate risk or performance metrics is prohibited.

Not allowed:

  • Long and short positions on the same instrument at the same time

  • Hedging across multiple YRM accounts

  • Cross-prop hedging (e.g., long at YRM, short at another firm)

All trades must reflect genuine market exposure.


3. Arbitrage Exploits

YRM accounts are not intended for arbitrage strategies.

Prohibited:

  • Latency arbitrage

  • Exchange arbitrage on identical instruments

  • Statistical arbitrage designed to exploit feed or execution differences


4. Algorithmic & High-Frequency Trading (HFT)

Automated trading is restricted unless explicitly approved.

Prohibited behavior:

  • Sub-second order placement or cancellation

  • Tick-scalping strategies

  • Spoofing or layering orders

  • Latency-driven execution algorithms

Manual, discretionary trading is always permitted.


5. IP Address Irregularities & Location Abuse

We monitor IP usage to prevent fraud and account sharing.

Potentially flagged behavior:

  • Constant location hopping

  • Simultaneous logins from different regions

  • Multiple users accessing the same account

VPNs and VPS tools are allowed, but abuse may result in review.


6. Account Sharing & Collaboration

Accounts are single-user only.

Prohibited:

  • Sharing login credentials

  • Allowing others to trade your account

  • Coordinated trading across multiple people

Each trader is responsible for their own account activity.


Consequences of Violations

Violations may result in:

  • Immediate account restriction or termination

  • Denial of payout requests

  • Permanent ban from YRM Prop programs

  • Further action in cases of fraud or abuse


Final Notes

YRM Prop supports:

  • News trading

  • Copy trading

  • Multiple account management

  • A wide range of discretionary trading styles

What we do not support is manipulation, hedging abuse, or system gaming.

If you are ever unsure whether a strategy is permitted, contact support before deploying it.

Did this answer your question?