FTMO: Comprehensive 2025 Review
Leading Proprietary Trading Firm
Up to $2 million in capital • No time limits • 80/20 to 90/10 profit split
In the competitive landscape of proprietary trading, FTMO has established itself as a leader by offering traders access to significant capital without requiring them to risk their own funds. FTMO stands out with its comprehensive evaluation process, generous profit splits, and unique scaling opportunities. This in-depth review explores FTMO's two-phase Challenge program, account types, profit-sharing model, and more to help you determine if it's the right prop firm for your trading career.
Quick Facts About FTMO
What is FTMO?
FTMO is a proprietary trading firm that provides traders with access to significant trading capital after they've demonstrated their skills through a structured evaluation process. Unlike traditional brokerages where you trade with your own money, FTMO allows you to trade with the firm's capital while keeping up to 90% of the profits.
Founded in 2015, FTMO has grown to become one of the most respected prop firms in the industry, having created over 240,000 FTMO accounts for traders worldwide. The company operates on a simple yet effective business model:
- Pay a one-time fee to take the FTMO Challenge (which is refunded upon success)
- Complete the two-phase evaluation (Challenge and Verification) by meeting profit targets while respecting risk rules
- Receive a funded FTMO Account with your chosen account size
- Trade the funded account and keep 80% of profits (potentially 90% later)
- Scale up over time through FTMO's Scaling Plan up to $2 million
What sets FTMO apart is their focus on creating sustainable trading careers, not just providing temporary funding. They offer a complete ecosystem with educational resources, trading tools, performance coaching, and a clear path to grow from a smaller account to managing potentially millions in capital.
The FTMO Evaluation Process
FTMO uses a two-phase evaluation process to identify skilled traders. This structured approach helps ensure that those who receive funding can trade profitably while managing risk appropriately. Let's examine each phase in detail:
Phase 1: The FTMO Challenge
The initial evaluation to demonstrate trading profitability
- Profit Target: 10% of initial account balance
- Maximum Daily Loss: 5% of initial account balance
- Maximum Total Loss: 10% of initial account balance
- Minimum Trading Days: 4 days (at least one trade per day)
- Time Limit: No time limit to complete
- Assessment: All trading objectives must be met to advance
Phase 2: The Verification
A confirmation of consistency and discipline
- Profit Target: 5% of initial account balance (half of Challenge target)
- Maximum Daily Loss: 5% of initial account balance (same as Challenge)
- Maximum Total Loss: 10% of initial account balance (same as Challenge)
- Minimum Trading Days: 4 days (at least one trade per day)
- Time Limit: No time limit to complete
- Purpose: Confirms that performance wasn't just luck
After successfully completing both phases, you'll complete FTMO Identity verification and sign the FTMO Account Agreement. Once approved, you'll receive your funded FTMO Account with the same initial balance as your evaluation account.
Key Evaluation Features:
- No Time Pressure: Unlike many competitors who impose 30-day limits, FTMO allows you to take as long as needed to complete both phases.
- Real-Time Monitoring: FTMO provides detailed analytics tools to track your progress toward objectives.
- Refundable Fee: Your Challenge fee is 100% refunded with your first profit withdrawal once funded.
Account Options & Pricing
FTMO offers several account configurations to match your trading style and capital requirements:
Select Account Size & Type
50K Normal Standard
BEST SELLERFTMO provides flexible account options to accommodate different trading styles and capital needs. You can choose between:
- Account Size: $10K, $25K, $50K, $100K, or $200K. You can combine accounts up to a total of $400K.
- Risk Mode: Normal (5% daily/10% maximum loss) or Aggressive (10% daily/20% maximum loss with higher profit targets).
- Account Type: Standard (1:100 leverage, no overnight positions) or Swing (1:30 leverage, overnight positions allowed).
One-Time Fee (Refundable): The Challenge fee is a one-time payment based on your account size and risk mode. There are no recurring fees. Most importantly, your fee is fully refunded with your first profit withdrawal once funded, making FTMO effectively free if you succeed.
Trading Rules & Risk Management
FTMO enforces strict yet reasonable risk management rules to protect both traders and the firm's capital. Understanding these rules is crucial for success:
Your equity must not drop below 95% of your initial balance on any given trading day (or 90% for Aggressive accounts). This is calculated in real-time, combining both closed and open positions. For example, on a $100K account with Normal risk, if your equity falls to $95,000 or lower at any point during the day, you'll breach this rule. This daily loss limit resets each day.
Your overall equity must never fall below 90% of the initial balance (or 80% for Aggressive accounts). This is a hard stop - if your account value drops to this level at any time, you've violated the rule. For a $100K account with Normal risk, this means maintaining at least $90,000 in equity at all times. Unlike the daily loss, this doesn't reset - it remains in effect throughout the evaluation and funded phase.
FTMO requires that all trading is done in a way that reflects real market conditions. Prohibited activities include latency arbitrage, reverse engineering of demo accounts, exploiting price feed discrepancies, or any other manipulation that wouldn't work in live markets. In essence, FTMO wants to see legitimate trading strategies that would perform similarly in real conditions.
During both evaluation phases, you must trade on at least 4 separate days (a trading day counts as any day where at least one trade is placed). This ensures consistent performance rather than relying on a single lucky day. The days don't need to be consecutive, but you must meet this minimum before completing either phase. After being funded, there is no minimum trading requirement.
This rule varies based on your account type. On Standard accounts (with 1:100 leverage), you must close all positions before major news releases and cannot hold trades overnight or over weekends. On Swing accounts (with 1:30 leverage), you can hold positions through news and overnight/weekend periods. Choose the account type that aligns with your strategy to avoid inadvertently breaking this rule.
Account Types: Standard vs Swing
FTMO offers two distinct account types to accommodate different trading styles. Understanding the differences is crucial for selecting the right account for your strategy:
| Feature | Standard Account | Swing Account |
|---|---|---|
| Maximum Leverage | 1:100 | 1:30 |
| Overnight Positions | Not Allowed | Allowed |
| Weekend Positions | Not Allowed | Allowed |
| News Trading | Not Allowed | Allowed |
| Ideal For | Day Traders, Scalpers | Swing Traders, Fundamental Traders |
Choosing the Right Account Type
Your trading style should dictate which account type you select:
- Select Standard if: You're a day trader or scalper who values higher leverage and closes positions by the end of each session.
- Select Swing if: Your strategy involves holding positions for multiple days or trading around major news events, and you're comfortable with the lower leverage.
Funded Account Details
After successfully completing both evaluation phases, you'll receive your FTMO funded account. Here's what changes once you're funded:
Rules That Remain
- Maximum Daily Loss: Still 5% (Normal) or 10% (Aggressive)
- Maximum Total Loss: Still 10% (Normal) or 20% (Aggressive)
- Account Type Restrictions: Same trading hour/position rules based on your account type
- Trading Conditions: Same leverage, instruments, and platform
- Real Market Rules: No market manipulation or exploitation
Rules That Change
- No Profit Target: No required percentage gain
- No Minimum Trading Days: Trade as frequently or infrequently as you wish
- Profit Withdrawals: Keep 80% of profits (90% after scaling)
- Fee Reimbursement: Challenge fee refunded with first profit withdrawal
- Scaling Opportunity: Account size can increase by 25% every 4 months
FTMO funded accounts are simulated accounts with real profit payouts. This means you're trading on a demo platform, but the profits you generate can be withdrawn as real money. This setup allows FTMO to provide larger account sizes while still managing their risk.
FTMO emphasizes the reduced pressure on the funded account - without profit targets or time constraints, you can focus on consistent, disciplined trading rather than rushing to hit specific numbers.
Profit Split & Scaling Plan
One of FTMO's most attractive features is their profit-sharing model and opportunity for account growth:
Profit Split & Payouts
- Initial Profit Split: 80% to trader, 20% to FTMO
- After Scaling: 90% to trader, 10% to FTMO
- Payout Frequency: Monthly by default, but can request as early as 14 days after first trade
- Payout Flexibility: Can choose any day between day 14 and day 60 as "Reward Day"
- Payment Methods: Bank transfer, Skrill, or cryptocurrency
- Processing Time: Typically 1-2 business days (average 8 hours)
- No Profit Threshold: Can withdraw even small profits
Scaling Plan
Every 4 months, FTMO evaluates account growth for scaling opportunities
- Growth Requirement: +10% net profit over a 4-month period
- Additional Criteria: At least 2 profitable months in the 4-month period, minimum of 2 payouts
- Account Increase: +25% to account size (e.g., $100K → $125K → $156K)
- Profit Split Increase: Boosted to 90/10 upon first scaling
- Maximum Scaling: Up to $2 million per trader
- No Additional Fees: Scaling happens automatically at no cost
Example Scaling Path:
A trader starting with a $100K account could grow over time to:
- Initial Account: $100,000 (80/20 profit split)
- First Scaling (4 months): $125,000 (90/10 profit split)
- Second Scaling (8 months): $156,250 (90/10 profit split)
- Third Scaling (12 months): $195,313 (90/10 profit split)
- And so on... up to the $2 million maximum
FTMO vs. Other Prop Firms
How does FTMO compare to other popular prop firms in the market? Here's a comparison of key features:
| Feature | FTMO | Other Top Firms | Take Profit Trader |
|---|---|---|---|
| Evaluation Phases | 2 Phases (Challenge + Verification) | 1-2 Phases | 1 Phase |
| Profit Split | Initial: 80/20 After Scaling: 90/10 | 70/30 to 80/20 | PRO: 80/20 PRO+: 90/10 |
| Drawdown Calculation | Intraday (both phases) | Varies (often intraday) | Evaluation: End-of-Day Funded: Intraday |
| Time Limit | No Time Limit | Often 30-45 days | No Time Limit |
| Account Scaling | +25% every 4 months (up to $2M) | Varies by firm | Every $5,000 profit increases size by 25% |
Pros and Cons of FTMO
PROS
- Significant funding opportunities with up to $400K available immediately and scaling to $2M over time
- Generous profit split (80/20 to 90/10) that exceeds many competitors
- No time limit to complete the evaluation process, reducing pressure and unnecessary risks
- Challenge fee is fully refunded with first profit withdrawal
- Flexible payout schedule (14-60 days) with fast processing times
- Comprehensive trading tools, performance analytics, and support resources
- Account types cater to different trading styles (Standard or Swing)
- Established reputation since 2015 with proven track record of payouts
CONS
- Two-phase evaluation process is longer than some competitors' single-phase models
- Strict intraday drawdown calculation in both phases with zero tolerance for breaches
- Relatively high initial challenge fees for larger account sizes
- Limited leverage (1:30) on Swing accounts can be restrictive for some strategies
- Profits earned during evaluation phases are not paid out
- Trading restrictions on Standard accounts (no overnight or news trading)
- All trading is on demo accounts, not direct access to live markets
Who Should Choose FTMO?
Based on FTMO's structure and rules, it's particularly well-suited for:
- ✅Disciplined Risk Managers: Traders who already practice strong risk management and can comfortably operate within the 5% daily and 10% maximum drawdown limits.
- ✅Patient, Consistent Traders: Those who value the unlimited time to complete the evaluation and prefer to wait for high-quality setups rather than forcing trades to meet deadlines.
- ✅Career-Focused Traders: Individuals looking to build a long-term trading career with clear growth opportunities through the scaling plan.
- ✅Multi-Market Traders: FTMO provides access to forex, indices, commodities, stocks, and cryptocurrencies, making it ideal for traders who like to trade across different asset classes.
However, FTMO might not be the best fit for:
- ❌High-Risk Traders: Those who experience frequent large drawdowns or rely on strategies with significant volatility will struggle with FTMO's strict risk limits.
- ❌Impatient Traders: If you want immediate funding without a two-phase evaluation process, other firms offer faster paths (though often with less capital).
- ❌Beginner Traders: While FTMO has educational resources, the evaluation requirements demand a certain level of skill and experience to pass consistently.
- ❌Budget-Conscious Beginners: The higher challenge fees for larger accounts may be prohibitive for those just starting out with limited capital.
Final Verdict: Is FTMO Worth It?
FTMO stands as one of the most established and respected prop firms in the industry, with a well-thought-out program that balances opportunity with risk management. The combination of substantial funding (up to $400K initially and potentially $2M through scaling), generous profit splits (80/20 to 90/10), and no time pressure during evaluation creates an attractive proposition for serious traders.
What truly sets FTMO apart is their holistic approach to trader development. Beyond just providing capital, they offer comprehensive tools, performance coaching, and a clear path for career growth. The refundable challenge fee model also demonstrates their commitment to long-term partnerships rather than simply collecting evaluation fees.
While their two-phase evaluation and strict risk rules may be more demanding than some competitors, these elements contribute to FTMO's sustainability and reputation for reliability. For traders who can adapt to these requirements, FTMO offers one of the most complete prop trading packages available.
Ready to Start Your FTMO Journey?
FTMO offers a structured path to trading significant capital with generous profit splits and comprehensive trader support.
Visit FTMODisclaimer: This review is based on information available as of March 2025. Rules, fees, and policies may change over time. Always verify the current terms directly with FTMO before making any financial decisions.