Prop firm drawdown limitations

Prop firms have different funding programs with various rules which include drawdown limitations.

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Proprietary trading firms offer traders a chance to work with more significant amounts of funds without risking their own capital. However, prop firms have different funding programs with various rules. The drawdown limitations are the main rule that prop trading firms don’t allow you to break during evaluation.

IMPORTANT NOTICE: Proprietary trading firms use different phrases for the drawdown limitation rules, which means that two prop firms can have the exact same phrase used, but a different meaning for their limitation. For exact explanations of drawdown limitations, you should check out the terms & conditions of each presented proprietary trading firm to get the correct knowledge about their limits that you are not allowed to breach!

You can see which drawdown limitations you should focus on for each proprietary trading firm funding process in the spreadsheet below:

Proprietary Trading Firm	One-step Evaluation Drawdown Limits	Two-step Evaluation Drawdown Limits	Three-step Evaluation Drawdown Limits	Direct Funding Drawdown Limits
E8 Markets	One Account: Max Daily Loss 4% & Max Trailing Loss 6%	E8 Account: Max Daily Loss 4% & Max Loss 8% (Scaleable up to 14%)	E8 Track: Max Daily Loss 4% & Max Loss 8% (Scaleable up to 14%)	❌
Alpha Capital Group	Alpha One-step Challenge: Max Daily Loss 4% & Max Loss 6%	Alpha Pro Challenge: Max Daily Loss 5% & Max Loss 10% Alpha Swing Challenge: Max Daily Loss 5% & Max Loss 10%	Alpha Three-step Challenge: Max Daily Loss 4% & Max Loss 6%	❌
Alpicap	One-step Challenge: Max Daily Loss 4% & Max Loss 6%	Two-step Challenge: Max Daily Loss 5% & Max Loss 12%	❌	❌
Blue Guardian	Rapid Guardian: Max Daily Loss 4% & Max Trailing Loss 6%	Unlimited Guardian: Max Daily Loss 4% & Max Loss 8% Elite Guardian: Max Daily Loss 4% & Max Loss 10%	Three-step Guardian: Max Daily Loss 4% & Max Loss 8%	Max Daily Loss 3% & Max Trailing Loss 6%
Blueberry Funded	One-step Challenge: Max Daily Loss 4% & Max Loss 6% Rapid Challenge: Max Daily Loss 3% & Max Trailing Loss 4%	Two-step Challenge: Max Daily Loss 5% & Max Loss 10%	❌	❌
Bullwaves Prime	❌	Two-step Challenge: Max Daily Loss 5% & Max Trailing Loss 10%	❌	❌
City Traders Imperium	One-step Challenge: Max Trailing Loss 5%	Two-step Challenge: Max Daily Loss 5% & Max Loss 10%	❌	Instant Funding: Max Loss 6% Instant Funding Pro: Max Loss 6%
Crypto Fund Trader	Max Daily Drawdown 3%, Maximum Trailing Drawdown 6%	Max daily loss 5%, Max total loss 8%	❌	❌
Direct Funded Trader	Standard & Aggressive: Max daily drawdown 4%, Maximum drawdown 7%	Max daily loss 5%, Max total loss 10%	❌	❌
Fintokei	❌	Pro Trader: Max Daily Loss 5% & Max Loss 10%	Start Trader: Max Daily Loss 5% & Max Loss 10%	Swift Trader: Max Trailing Loss 10%
Forex Prop Firm	One-step Max daily drawdown 4%, Maximum drawdown 6% One-step Pro Challenge: Max daily drawdown 6%, Maximum drawdown 10% One-step Bear Challenge: Max daily drawdown 2%, Maximum drawdown 3% One-step Bull Challenge: Max daily drawdown 5%, Maximum drawdown 5%	Two-step Challenge: Max daily drawdown 5%, Maximum drawdown 12% Two-step Pro Challenge: Max daily drawdown 5%, Maximum drawdown 10% Two-step Bear Challenge: Max daily drawdown 2%, Maximum drawdown 3% Two-step Bull Challenge: Max daily drawdown 5%, Maximum drawdown 5%	Three-step Challenge: Max daily drawdown 5%, Maximum drawdown 7% Three-step Bear Challenge: Max daily drawdown 2%, Maximum drawdown 3% (except Phase 3 is 4%) Three-step Bull Challenge: Max daily drawdown 5%, Maximum drawdown 5% (except Phase 3 is 6%)	Pro Instant Funding: Max daily drawdown 5%, Maximum drawdown 5% Advanced Instant Funding: Max daily drawdown 5%, Maximum drawdown 5% Premium Instant Funding: Max daily drawdown 5%, Maximum drawdown 5%
FTUK	One-step Challenge: Max Daily Loss 4% & Max Trailing Loss 8%	Two-step Challenge: Max Daily Loss 5% & Max Loss 10%	❌	Instant Funding: Max Daily Loss 5% & Max Loss 6%
FTMO	❌	Max daily drawdown 5%. Max overall drawdown 10%	❌	❌
Funded Trading Plus	Max daily drawdown 4%, Maximum trailing drawdown 6%	Prestige Trader Program: Max daily drawdown 5%, Maximum drawdown 10% Advanced Trader Program: Max daily drawdown 5%, Maximum trailing drawdown 10% Premium Trader Program: Max daily drawdown 4%, Maximum trailing drawdown 8%	❌	Max daily drawdown 6%, Maximum trailing drawdown 6%
FundedNext	Stellar: Max daily drawdown 3%, Max overall drawdown 6%	Stellar: Max daily drawdown 5%, Max overall drawdown 10% Stellar Lite: Max daily drawdown 4%, Max overall drawdown 8%	❌	❌
FundedTop	Quick Hike: Max Daily Loss 3%, Max Loss 6%	Steady Climb: Max Daily Loss 5% & Max Loss 10% Toppers: Max Daily Loss 5% & Max Loss 10% During Evaluation Phases & Max Daily Loss 4% & Max Loss 8% Once Funded (Scaleable To Max Daily Loss 8% & Max Loss 12%)	❌	❌
FunderPro	❌	Max daily loss 5%, Max overall loss 10%	❌	❌
FundingPips	One-step Evaluation: Max Daily Loss 4% & Max Loss 6%	Two-step Evaluation: Max Daily Loss 5% & Max Loss 10% Two-step Pro Evaluation: Max Daily Loss 3% & Max Loss 6%		Zero Program: Max Daily Loss 3% & Max Loss 5%
FXIFY	One-phase Evaluation: Max Daily Loss 3% & Max Trailing Loss 6%	Two-phase Evaluation: Max Daily Loss 4% & Max Loss 10%	Two-phase Evaluation: Max Daily Loss 5% & Max Loss 5%	Max daily drawdown 8%, Maximum trailing drawdown 8%
Goat Funded Trader	One-step Prime Challenge: Max Daily Loss 4% & Max Loss 6%	Goat Challenge: Max Daily Loss 4% & Max Loss 10% Standard Challenge: Max Daily Loss 5% & Max Loss 10% Pro Challenge: Max Daily Loss 4% & Max Loss 8%	Three-step Challenge: Max Daily Loss 4% & Max Loss 8%	Standard Instant Funding Program: Max Daily Loss 4% & Max Trailing Loss 8% Goat Instant Funding Program: Max Daily Loss 3% & Max Trailing Loss 6%
Hola Prime	One-step Prime Challenge: Max Daily Loss 3% & Max Loss 6% One-step Pro Challenge: Max Daily Loss 3% & Max Loss 6%	Two-step Prime Challenge: Max Daily Loss 5% & Max Loss 8% Two-step Pro Challenge: Max Daily Loss 5% & Max Loss 8%	❌	Direct Account: Max Daily Loss 5% & Max Trailing Loss 5%
iFunds	❌	❌	❌	Instant Funding: Max Loss 6%, 7%, 8% or 10%
Lux Trading Firm	Maximum loss 5% (4% once funded)	Maximum loss 5% (4% once funded)	❌	❌
OFP	❌	❌	❌	Instant Funding: Max Daily Loss 3%, 4%, or 5% & Max Loss 6%, 8%, or 10%
Plutus Trade Base	Lightning Challenge: Max Daily Loss Max Loss 5% Adventure Challenge:Max Trailing Loss 5%	Two-Step Challenge: Max Daily Loss 7%, 5%, or 4% & Max Loss 12%, 10%, or 8%	❌	Instant Funding: Max Trailing Loss 10%
PipFarm	Static Evaluation: Max Daily Loss 3% & Max Loss 6% (Scaleable up to 5% & 7%) Lightning Evaluation: Max Daily Loss 3% & Max Trailing Loss 12% (Scaleable up to 5% & 13%)	Two-step Evaluation: Max Daily Loss 3% & Max Loss 9% (Scaleable up to 5% & 10%)	❌	❌
Prop Nimbus	❌	Evaluation Program: Max Daily Loss 5% & Max Loss 10%	❌	Instant Funded: Max Daily Loss 3% & Max Trailing Loss 6%
Prop Number One	❌	Two-step Challenge: Max Daily Loss 5% & Max Loss 10% During Phase One & Max Daily Loss 4% & Max Loss 8% During Phase Two and Once Funded	❌	❌
RebelsFunding	Max daily loss 4%, Max drawdown 6%	Max daily loss 5%, Max loss 10%	Max daily loss 5%, Max loss 10%	Max loss 6%
SeacrestFunded	One-step Challenge: Max Daily Loss 4% & Max Trailing Loss 6% One-step Max Challenge: Max Daily Loss 2% (Soft Breach) & Max Loss 8%	Two-step Challenge: Max Daily Loss 4% & Max Loss 8% Two-step Max Challenge: Max Daily Loss 5% & Max Loss 10% in Phase 1, Max Daily Loss 4% & Max Loss 8% in Phase 2 and Once Funded	Three-step Challenge: Max Daily Loss 4% & Max Loss 8%	❌
SFX Funded	Rapid Challenge: Max Daily Loss 3% & Max Trailing Loss 4%	Two-step Evaluation: Max Daily Loss 4% & Max Loss 8% Ignite Challenge: Max Daily Loss 3% & Max Trailing Loss 8%	❌	Zero Evaluation: Max Daily Loss 4% & Max Trailing Loss 7%
SpiceProp	Chilli Pepper Program: Max Daily Loss 5.5% & Max Loss 11%	Black Pepper Program: Max Daily Loss 5.5% & Max Loss 11% Sweet Pepper Program: Max Daily Loss 5.5% & Max Loss 11% Mini Pepper Program: Max Daily Loss 5.5% & Max Loss 11%	❌	Jalapeno Pepper Program: Max Daily Loss 2.5% & Max Loss 5%
The Funded Trader	Knight Pro Challenge: Max Daily Loss 5% & Max Trailing Loss 8% Knight Challenge: Max Daily Loss 3% & Max Trailing Loss 6%	Royal Pro Challenge: Max Daily Loss 5% & Max Loss 10% Royal Challenge: Max Daily Loss 5% & Max Loss 10%	Dragon Challenge: Max Daily Loss 5% & Max Loss 10%	❌
The Trading Pit	Max daily loss 3%, Max trailing drawdown 7% up to 10%	Max daily loss 5% Max drawdown 10% (During $50k & $100k evaluation) Max trailing drawdown 10% (once funded and on $10k & $20k evaluation)	❌	❌
The5%ers	❌	High Stakes: Max Daily Loss 5% & Max Loss 10%	Bootcamp Challenge: Max Loss 5% (Daily Pause 3% & Max Loss 4% Once Funded)	Hyper Growth: Daily Pause 3% & Max Loss 6%
TopTier Trader	One-phase Challenge: Max Daily Loss 3% & Max Loss 6%	Two-phase Challenge: Max Daily Loss 5% & Max Loss 10% (Max Daily Loss 5% & Max Loss 8% with Hybrid Add-on)	❌	❌
Tradexprop	One-step X Evaluation: Max Daily Loss 5% & Max Loss 6%	Two-step X Evaluation: Max Daily Loss 5% & Max Loss 8%	❌	Instant Funding X: Max Daily Loss 5% & Max Trailing Loss 8%
TradingFunds	One-step Evaluation: Max Daily Loss 4% & Max Trailing Loss 8%	Two-step Evaluation: Max Daily Loss 5% & Max Loss 10%	❌	❌
Wall Street Funded	Rapid Challenge: Max Daily Loss 4% & Max Loss 6%	Classic Challenge: Max Daily Loss 5% & Max Loss 8% Ultra Challenge: Max Daily Loss 5% & Max Loss 10%	❌	Instant Standard: Max Daily Loss 3% & Max Trailing Loss 6% Instant Pro: Max Daily Loss 3% & Max Trailing Loss 5%

IMPORTANT NOTICE: Proprietary trading firms use different phrases for the drawdown limitation rules, which means that two prop firms can have the exact same phrase used, but a different meaning for their limitation. For exact explanations of drawdown limitations, you should check out the terms & conditions of each presented proprietary trading firm to get the correct knowledge about their limits that you are not allowed to breach!

You can check complete reviews for the proprietary trading firms listed above by clicking here.

This article was lastly updated on 06.05.2025 at 14:20 (CE(S)T).