To help traders get started, a variety of "prop firms" have emerged that provide capital, training, and technology to new Forex traders. In return, they take a percentage of any trading profits. These firms, often called "funded accounts", allow traders to gain experience in live markets without risking their own capital.
In this post, we will explore the top Forex prop firms available to US-based traders.
List best Forex Prop Firms in 2024
✅FTMO Open An Account
✅The Funded Trader Open An Account
✅The Forex Funder Open An Account
✅True forex Funds Open An Account
FTMO
FTMO (previously known as MyForexUniverse) is one of the largest and best-known prop firms globally. Based in the Czech Republic, they provide funded accounts up to $400,000 to traders that can pass their evaluation.
Overview
Founded in 2016 and funded over $350 million to traders since inception
Offers account sizes from $100k to $400k after passing two-step evaluation
Traders keep 80% of net profits each month
Access to their proprietary web platform and free VPS hosting
Profit Split
FTMO accounts work on 80/20 profit split
If a funded account generates $10k profits within a month, the trader keeps $8k
Withdrawals allowed at any time without limitations
Various account tiers with higher size targets for larger accounts
Cost
Two-step evaluation process$150 for first combine challenge, get funded at $30k accountAdditional $350 for second challenge to get $100k-$400k account
Refunds given if profit targets met in 5 days
No monthly subscription fees or commissions
Pros and Cons
Pros
High account sizes available
Low historical failure rates
Active trader community via Discord
Multiple currency options
Cons
Rigid risk limits and trading restrictions
Limited US payment options
Strict profit split beyond smallest account
E8 Funding
E8 Funding is a popular prop firm founded in the UK but expanding globally. They offer some of the highest profit splits in the industry along with unique social elements.
Overview
Launched in 2021 with extensive financial backing
Offers 80% profit splits and ability to reduce to 90%
Account sizes from $25k up to $300k
Additional profits from referring other traders
Profit Split
Start with 80% payout of net profits
Increase to 85% payout after six months
Further increase to 90% payout after 2 years or $3M profits
Cost
$595 initial trader combine evaluation fee
No monthly fees, commissions, or additional costs
Option to lease professional tools/indicators
Pros and Cons
Pros
High and rising profit split percentages
Robust community engagement tools
Multiple demo challenges to gauge readiness
Cons
Still proving long term trader success rates
Limited track record due to age of firm
Narrow instruments outside major FX pairs
Forex Prop Firm
Launched in 2021, Forex Prop Firm focuses on small account sizes for new traders along with an intensive educational curriculum. They are based in Canada and serve an international trader base.
Overview
Created by established industry traders and educators
Caters to brand new FX and stocks traders
Account sizes from $1k up to $50k
Structured training program lasts 5-10 weeks
Profit Split
80% profit split across all account levels
Withdrawals available instantly
No change in revenue share terms
Cost
$299 upfront for new trader training
$199 monthly subscription fee
Commission fees on active trading
Pros and Cons
Pros
Designed for unproven new traders
Unique focus on education/coaching
Multiple account currencies
Cons
High monthly fees beyond profit split
Low maximum account size
Limited instruments outside major FX pairs
Proprietary Trading Firm
Proprietary Trading Firm (or PropTF) stands out for specializing in stocks, crypto, options, and futures trading along with Forex. They target experienced traders with specialized backgrounds.
Overview
Founded in 2015 serving mainly US-based traders
Fund experienced futures, crypto, stocks, options traders
Account sizes from $50k to $1 million+
Expect traders to manage own risk controls
Profit Split
80-90% payout rates based on volume
Ability to customize contract terms
No long-term change in revenue share
Cost
$500 upfront for combining simulation
Broker data commissions per trade
First year subscription fees waived
Pros and Cons
Pros
Markets beyond just Forex trading
Flexible combine requirements
Attracts sophisticated trader pool
Cons
High minimum account size
High combine failure rate
Less protections for traders
Ment Funding
Ment Funding is a fast-growing US prop firm focused on stocks trading along with crypto, futures and Forex options. They target new and experienced traders alike with multiple combine options.
Overview
Founded in 2020 and rapidly expanding
Caters to US equities and derivatives traders
Account sizes from $25k up to $500k
Three tier system to get funded
Profit Split
Start with 70-80% payout rate
Increase to 85% after six months
Further increase to 90% after 12 months
Cost
$125 - $250 evaluation fees
Possible subscription fees
Brokerage commissions on trades
Pros and Cons
Pros
Strong stock trading focus
Lucrative highest tier payout
Multiple account currencies
Cons
Still proving long term success
High combine failure rates
Steep evaluation fees
MyFundedFX
A contender for top Forex prop firm based in the US, MyFundedFX focuses on small account traders along with premium tools and tight spreads. They prioritize US-based trading professionals with expertise using MetaTrader 4 (MT4).
Overview
Created by a team of experienced US FX traders
Caters to MT4 traders on fast ECN network
Account sizes from $5k to $100k+
Expect basic market knowledge
Profit Split
Start with 80% profit split rates
Increase to 85% after six months
Further increase to 90% after 12 months
Cost
$249 initial one-time combine fee
Possible platform subscription fees
Tight brokerage spreads on trades
Pros and Cons
Pros
US-based firm with premium tools
Lucrative highest tier payout
Designed around MT4 platform
Cons
Still proving long term success rate
Limited markets beyond Forex
High combine failure rate
Smart Prop Trader
Established in the UK with international reach, Smart Prop Trader competes for top Forex prop firm status targeting scalpers to swing traders globally. They offer integration across popular platforms along with strong risk controls.
Overview
Founded in 2015 serving mainly international markets
Integrates MetaTrader 4/5 and cTrader platforms
Account sizes from $20k up to $2 million
Options trading integration in development
Profit Split
Starts at 80% profit split rate
Increases to 85% after three months
Further increase to 90%+ based on volume
Cost
$249 initial one-time combine fee
Possible platform subscription fees
Average brokerage spreads on trades
Pros and Cons
Pros
Established prop firm record
Multiple platforms supported
Lucrative highest tier payout
Cons
Modest account tier progression
Limited instruments outside Forex
High combine failure rate
SurgeTrader
A global Forex prop firm rapidly gaining interest, SurgeTrader competes for top status with a focus on short term scalpers along with offering copy trading accounts. They integrate deeply with MetaTrader 4 and 5 providing premium tools.
Overview
Founded in 2021 expanding quickly globally
Specializes in supporting short term scalpers
Account sizes from $1k up to $300k
Integrates social trading into ecosystem
Profit Split
Starts at 80% profit split rate
Increases to 85% after six months
Further increases based on volume and results
Cost
$149 initial combine evaluation fee
Possible platform subscription fees
Average brokerage spreads on trades
Pros and Cons
Pros
Innovative copy trading options
Lucrative highest tier payout
Specialized tools for scalpers
Cons
Very new to evaluate fail rate
Confusing array of offerings
Steep minimum activity requirements
The Funded Trader
A popular international prop firm, The Funded Trader focuses on short term volatility-based traders in Europe but serves clients globally. They deeply integrate trading tools with a proprietary web platform along with innovative gamification.
Overview
Founded in 2020 with heavy gambling industry ties
Uniquely targets volatile short term traders
Account sizes from $5k up to $200k
Engages traders via rankings and quests
Profit Split
Standard 80% profit split rate
Increase to 85% after passing quests
Further increases for top monthly traders
Cost
$118 initial combine evaluation fee
Platform subscription embedded
Average brokerage spreads on trades
Pros and Cons
Pros
Innovative web platform UX
Engaging quest gamification
Lucrative campaign prizes
Cons
Very high combine failure rate
Confusing array of offerings
Steep activity requirements
TopTier Trader
TopTier Trader is a global prop firm rapidly expanding in the US that tries to balance rigorous risk controls with maximal trader rewards. They focus on short term volatility scalpers along with swing position traders.
Overview
Founded in 2021 by a team of prop traders
Specializes in volatility scalpers and swing traders
Account sizes from $10k up to $500k
Developing crypto, futures, options trading
Profit Split
Starts with industry-high 85% rate
Increases to 90% after volume milestones
Goes up to 95% after extensive history
Cost
$249 initial combine evaluation fee
Possible platform subscription fees
Institutional grade spreads on trades
Pros and Cons
Pros
Extremely high profit split rate
Stacked tiered payout progression
Developing products beyond just Forex
Cons
Very new entity with no long term record
Confusing array of account offerings
High minimum account tiers
See more: Best Forex Broker in US
How to Choose A Prop Firm in US
Choosing the right prop firm is an important decision for new traders. Here are some key factors to consider when selecting a US-based prop firm:
Reputation and Track Record
Look for established firms with a strong reputation, extensive experience, and a proven track record of success among their funded traders. Be wary of any firm making outsized claims about guaranteed profits.
Training and Support
Many prop firms offer educational resources, mentoring, and ongoing support to help traders develop their skills. Prioritize firms that provide robust training tailored to forex trading.
Funding Terms
Evaluate the firm's funding tiers, profit splits, fees, and payout schedules. Make sure you understand all terms before signing any agreements.
Technology and Tools
Prop firms should provide access to advanced trading platforms, analysis tools, virtual trading environments, and other helpful technologies.
Risk Parameters and Rules
Review the trading parameters, risk limits, and compliance rules you must follow. Ensure you can consistently trade within the required guidelines.
Advantages Of United States Prop Firms
Joining a US-based prop firm as a funded trader provides several potential benefits:
Increased Buying Power
Firms provide leverage and capital to traders to command larger position sizes than trading one's own limited capital. This magnifies potential gains.
More Freedom Than Institutional Trading
Prop firms give traders more autonomy than working for a bank or hedge fund. Traders can refine their own strategies while still getting funded.
Accelerated Learning and Development
The educational resources, mentoring, and focus on skill development provided by prop firms can accelerate traders' learning curves.
Potentially Lucrative
With the backing of a firm's capital, skilled traders can achieve an income stream from trading that surpasses many traditional jobs.
Community and Collaboration
Being surrounded by fellow traders provides a sense of community, opportunity to collaborate, and motivation to succeed.
Low Barrier to Entry
Compared to job applications for investment banks, prop firm evaluation processes are more meritocratic. Talented traders can get funded regardless of background.
Disadvantages Of United States Prop Firms
However, there are also some potential downsides to weigh:
Profit Splits
Prop firms take a cut of trader profits, often 20-40%. This reduces net income compared to trading one's own capital.
Oversight and Limitations
Firms impose risk limits, trading requirements, and compliance rules. Traders sacrifice some autonomy compared to independent trading.
Pressure to Perform
Funded account terms are usually less than 12 months before needing to re-qualify. Traders must perform well quickly or lose their funding.
Risk of Loss
There is no guaranteed income. Most funded traders fail to achieve consistency. Losses can exceed profits.
Less Experience Trading Sizeable Capital
Trading a firm's capital in a funded account is different from trading one's own small accounts. Lack of experience trading large can lead to mistakes.
Firm Collapses
Prop firms carry risk, like any private company. Poor management or losses can cause a firm to close down, leaving traders without support.
What Can You Trade On A Prop Firm
Most prop firms support trading a range of assets, though specific offerings vary. Common tradable markets include:
Major, minor, and exotic currency pairs
Cryptocurrencies like Bitcoin and Ethereum
Major stock indices like the S&P 500, Nasdaq, FTSE, and Nikkei
Commodities like gold, silver, oil, and natural gas
US and international equities
Futures contracts on equities, commodities, and fixed income
Firms may restrict trading certain higher-risk instruments like penny stocks until meeting certain profitability milestones. New traders often begin trading major forex pairs before expanding to other markets.
Forex
All prop firms offer forex trading, the core focus for most aspiring traders. Major, minor and exotic currency pairs across majors like the US dollar, Euro, Japanese Yen and British Pound are universally available.
Stocks and Stock Indices
Major stock market indices like the S&P 500 as well as US equities are commonly tradable. International stocks may be limited based on geographic focus.
Cryptocurrencies
Bitcoin, Ethereum and other major cryptocurrencies have grown in availability. But crypto trading may be limited based on trader skill level.
Commodities and Futures
Commonly accessible commodities include gold, silver, oil, and natural gas. Futures contracts on equities, commodities and fixed income also tend to be available.
How Much Is The Profit Split
Prop firms typically take 20% to 50% of trader profits in exchange for providing capital, infrastructure, and support. The exact profit split depends on:
The Funding Tier
Higher funding tiers with more capital allotted generally have more favorable splits for traders. Starting tiers tend to be 40-50% to the firm.
Performance Milestones
As traders prove consistency and hit certain profit thresholds, firms will often improve the split. Profitable traders can eventually earn 80% or more of profits.
Tenure with the Firm
Longer-tenure traders will sometimes see improved splits over time as a loyalty incentive.
Fees and Commissions
Beyond the revenue share, traders pay commissions, platform fees, data fees and other costs that impact net income.
Recoupable Drawdowns
If a trader's losses exceed a certain drawdown limit, the firm may take a larger revenue share until that drawdown is recouped.
So while the headline split may be 80/20 for example, the effective split after costs may be 70/30 or worse for struggling traders. Consistently profitable traders can improve terms over time.
What Trading Platforms Are Available?
Funded traders are provided access to professional trading platforms by their prop firm. The most common options are:
MetaTrader 4 and MetaTrader 5
MetaTrader 4 and 5 remain the industry standard for retail trading platforms, offered by almost every prop firm. The platforms allow advanced charting, backtesting, algorithmic trading and Expert Advisor automation scripts.
NinjaTrader
Common among US-based prop firms, NinjaTrader provides market analytics, automation, backtesting and advanced order management tools comparable to MetaTrader.
cTrader
Offering powerful charting and analytics, cTrader is gaining popularity especially among firms outside the US. The desktop-based platform also allows creating and backtesting trading robots with the cAlgo add-on.
MultiBank Platforms
Some prop firms offer MultiBank platforms like MT4 MultiTerminal. These specialized platforms provide management and risk controls across a fund with multiple traders.
Proprietary Web & Mobile Apps
A few prop firms have built their own proprietary web and mobile trading apps, tailored specifically to their traders. But MetaTrader and NinjaTrader remain more common.
The platform choice may depend on trader preference, asset classes traded, required functionality, and geographic location. Most legitimate prop firms provide advanced platforms for free.
Are Prop Firms Legit?
The accelerated rise of prop firms has led some to question their legitimacy. However, the majority of prop firms do operate legitimate business models. Here are tips for identifying trustworthy firms:
Track record & reputation - Established firms with a long operating history tend to be lower risk.
Regulated - Prefer firms registered with regulators like the NFA, FCA, or CySEC depending on countries operated in.
Transparent agreements - Profit splits, fees, and account terms should be clearly explained without pressure.
Conservative risk management - Firms with prudent risk controls tend to cultivate successful traders, not gamblers.
Post-trading account option - Can traders withdraw, reinvest, or maintain live trading upon completing prop firm challenges? Lack of post-challenge options can signal issues.
Support traders - Responsive support teams, robust training, and community engagement indicate firms focused on trader development versus quick income.
As with any investment opportunity, prudence is warranted. But the majority of funded traders succeed with legitimate, supportive prop firms focused on mutual profitability over the long-term.
Conclusion
The world of Forex prop firms continues expanding at a rapid rate to meet surging interest in the domain of retail trading. While the firms described above represent the current top options for US and global traders, new challengers continue emerging. Selecting the right funded account involves balancing profit splits, costs, account sizes, platforms, instruments, communities and risk controls across short and long time horizons for your individual trading style and goals.
