Description

What Is Funding Pips?

Funding Pips is a proprietary trading firm that funds skilled traders based on their ability to pass a rigorous evaluation process. Rather than traders risking their own capital in the markets, Funding Pips allows them to access accounts ranging from $10,000 to $2 million, depending on the trader’s performance in the evaluation stages.

In exchange for providing traders with capital, the firm takes a percentage of the profits. However, unlike many firms that offer lower splits, Funding Pips gives traders an impressive share, allowing them to keep between 80% and 90% of the profits they make. This makes Funding Pips an attractive option for experienced traders looking to grow their operations without putting their own capital at risk.

The firm was designed to cater to all types of traders, whether they are aggressive day traders or more conservative swing traders. Its evaluation process focuses on ensuring that traders can follow risk management rules and consistently generate profits, making it a well-rounded option for a variety of trading styles.

How Does the Evaluation Process Work?

To become a funded trader with Funding Pips, individuals must pass an evaluation designed to assess their ability to trade profitably and manage risk. The firm offers several evaluation models that cater to different types of traders. Let’s break them down:

1. One-Step Evaluation

The one-step evaluation is the simplest model, but it requires traders to hit a specific profit target in one phase. Traders need to achieve a 10% profit target without violating any risk management rules, such as a daily loss limit of 5% or a total maximum drawdown of 10%.

This evaluation model is great for confident traders who believe they can generate profits quickly and demonstrate discipline by sticking to the rules. However, it’s not for everyone, as breaching the rules at any point will disqualify the trader.

2. Two-Step Evaluation

The two-step evaluation is a more structured approach, offering traders a chance to prove themselves over two distinct phases:

• Phase 1: Traders are required to hit an 8% profit target while staying within the firm’s strict risk parameters. These include a 5% daily loss limit and a 10% total maximum drawdown. The evaluation typically lasts for 30 days, but traders can complete it earlier if they hit the profit target sooner.
• Phase 2: If traders succeed in Phase 1, they move to Phase 2, where the profit target is reduced to 5%. The same risk parameters apply, but traders are expected to show consistency in managing their risk and generating profits.

The two-step evaluation is one of the most popular options among traders, as it provides a more thorough test of a trader’s skills while allowing a bit more flexibility.

3. Three-Step Evaluation

For traders who prefer a more gradual approach to the evaluation process, the three-step model is ideal. Each step of the evaluation requires traders to hit a 5% profit target, with the same risk management rules applying across all phases.

The three-step evaluation allows traders to prove their consistency and discipline over a longer period, making it a great choice for those who prefer a slower, more measured approach to proving their skills.

Trading Platforms Supported by Funding Pips

Funding Pips understands that traders have different preferences when it comes to trading platforms. To cater to a variety of needs, they offer access to several popular trading platforms:

MetaTrader 4 (MT4)

MT4 is one of the most widely used trading platforms in the world, known for its simplicity and reliability. It offers a range of charting tools and supports automated trading strategies through Expert Advisors (EAs). Traders who prefer a simple, user-friendly interface often choose MT4 for their trading activities.

MetaTrader 5 (MT5)

MT5 is the more advanced version of MT4, offering additional features such as more charting options, timeframes, and support for more financial instruments. Traders who want more sophisticated tools and broader market access often prefer MT5.

cTrader

cTrader is another popular platform offered by Funding Pips. It is known for its fast order execution, transparency, and customization options. cTrader is especially popular with traders who focus on short-term strategies such as scalping and those who prioritize transparency in the order execution process.

By offering these three platforms, Funding Pips ensures that traders can choose the platform that best suits their individual trading styles and preferences.

Profit Sharing and Payouts

One of the biggest attractions of Funding Pips is its competitive profit-sharing model. Traders who successfully pass the evaluation process are entitled to retain a significant portion of the profits they generate on their funded accounts. The firm offers a profit split ranging from 80% to 90%, which is higher than what many other proprietary trading firms provide.

The profit split increases based on a trader’s performance and consistency. For example, traders who demonstrate strong performance and follow risk management rules over time can qualify for the highest split of 90%, allowing them to keep a larger share of their profits.

Additionally, Funding Pips offers weekly payouts, giving traders the flexibility to access their earnings quickly. The first payout is available just seven days after the initial trade on the funded account, which is an attractive feature for traders who value fast access to their funds.

Evaluation Fees and Risk Management

Like most proprietary trading firms, Funding Pips charges an evaluation fee, which varies depending on the size of the account the trader wishes to access and the evaluation model they choose. This fee covers the cost of assessing the trader’s skills and risk management abilities.

It’s important to note that the evaluation fee is non-refundable. Therefore, traders should carefully select the evaluation model that best suits their trading style and abilities before committing to the fee.

Additionally, Funding Pips has strict risk management rules in place throughout the evaluation process. These include daily loss limits and maximum drawdown limits. Breaching these limits will result in immediate disqualification, so traders must be disciplined and careful in their approach.

Pros and Cons of Funding Pips

Pros

• High Profit Splits: Funding Pips offers up to 90% profit splits, allowing traders to keep a substantial portion of their earnings.
• Flexible Evaluation Models: Traders can choose from one-step, two-step, or three-step evaluations, depending on their preferences.
• Wide Platform Choice: With MT4, MT5, and cTrader available, traders have the flexibility to trade on their preferred platform.
• Weekly Payouts: Traders can receive payouts weekly, ensuring fast access to their earnings.
• Scalability: Traders who perform well can scale up their accounts over time, managing larger capital as they demonstrate consistency.

Cons

• Strict Rules: The firm’s strict risk management rules mean that even minor breaches can lead to disqualification.
• Non-Refundable Evaluation Fees: If traders fail the evaluation, the fee is non-refundable, which can be a financial setback.

Conclusion

Funding Pips is a compelling option for traders looking to access large amounts of capital while minimizing personal risk. Its competitive profit splits, flexible evaluation models, and wide range of trading platforms make it an attractive choice for traders of all experience levels. However, traders must be mindful of the strict risk management rules and be prepared to pay the evaluation fee, which is non-refundable.

If you are a disciplined and skilled trader who can follow strict risk management guidelines, Funding Pips offers an excellent opportunity to scale your trading and earn significant profits without risking your own capital.