Best Stock Prop Trading Firms For 2025
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If you're too busy to read the entire article and want a quick answer, the best prop trading firm for stocks is Hola Prime. Why? Here are its key advantages:
- Is legit in your country (Identified as United States
) - Has a good user satisfaction score
- High profit split
- Professional-grade tools
Best prop trading firms for stocks are:
- FXIFY - Diverse trading plans (1,2, and 3 phases, with 10k-400k funding)
- Leveled Up Traders - Accounts with no mandatory profit target (only drawdown requirements)
- Next Step Funded - Best for low-risk traders (leverage up to 1:100, variable spreads, strict risk management)
- Forex Prop Firm - Instant funding for top traders with daily drawdown under 5%
- FTMO - One of the largest prop companies with favorable conditions (profit split up to 90%)
Proprietary trading, or prop trading, has become a powerful route for stock traders looking to access larger capital pools, leverage opportunities, and industry-grade resources. Finding the right proprietary trading firm for stock trading can change the game for any trader. These firms do more than provide capital; they equip traders with real-world tools, insightful guidance, and support systems that make a tangible difference in day-to-day performance. In this guide, we’ll dive deep into some of the best prop trading firms for stocks, looking at the unique features they offer to help you, whether you’re a beginner trader or a long-term investor, improve your results and grow your skillset.
Best prop trading firms for stocks
Proprietary trading involves trading financial assets using a firm’s capital rather than personal funds. Unlike retail trading, where traders risk their money, prop traders work with company funds, sharing a portion of their profits with the firm. This setup benefits both parties: firms gain skilled traders who generate revenue, while traders gain access to substantial capital, leverage, and tools they might not have on their own.
| Stocks | Funding Up To, $ | Profit split up to, % | Min Trade Days | Trading period | Max. Leverage | No-Evaluation | Free Evaluation | Open an account | |
|---|---|---|---|---|---|---|---|---|---|
| Yes | 4 000 000 | 90 | 5 | Unlimited | 1:30 | No | No | Open an account Your capital is at risk.
|
|
| Yes | 200 000 | 80 | 5 | Unlimited | 1:100 | No | No | Open an account Your capital is at risk. |
|
| Yes | 200 000 | 80 | No time limits | Unlimited | 1:100 | No | No | Study review | |
| Yes | 10 000 000 | 95 | 30 | Unlimited | 1:30 | Yes | No | Open an account Your capital is at risk.
|
|
| Yes | 2 000 000 | 90 | 4 | Unlimited | 1:100 | No | No | Open an account Your capital is at risk. |
How to choose the right prop firm for stock trading
Understand your trading style and find the right fit. Begin by identifying your exact trading style, whether it’s day trading, swing trading, or something in between. Then, search for prop trading firms that specifically cater to and support your method. Avoid just going for big names; instead, choose a firm that provides resources, platforms, and support systems designed to amplify your strategies.
Analyze the firm’s capital and risk policies. Once you have a list of potential firms, take a close look at how they allocate capital and manage risk. Don’t just focus on the amount of capital they provide; understand their risk distribution model. Do they spread their investments to minimize exposure, or do they bet heavily on high-volatility sectors? This will directly affect your trading security and profit potential.
Evaluate their mentorship and feedback systems. Next, see if the firm offers a robust mentorship program with active feedback loops. The best firms go beyond basic performance reviews; they have mentors who analyze your trades and provide practical advice in real time. Access to continuous, tailored guidance can be a game-changer in accelerating your learning curve.
Examine the firm’s technology infrastructure. Before making a decision, assess whether their technology is designed to help you specifically. Go beyond the “state-of-the-art” buzzwords and find out if they offer tech features that simplify your trading workflow, like customizable interfaces or automated tools for repetitive tasks. These finer details can significantly impact your day-to-day trading efficiency.
Consider growth opportunities and long-term plans. Finally, think about your future with the firm. Ask if they provide a clear pathway for advancement, such as increased capital access or options to trade different instruments as you gain experience. If you have leadership aspirations, check if they have opportunities for you to grow into roles like a team leader or trading mentor, ensuring that your career evolves as you do.
How to start stock proprietary trading
To start stock proprietary trading (prop trading), you'll typically need to join a prop trading firm, as they provide capital, resources, and a platform for trading. Here’s a step-by-step guide to help you begin:
Understand prop trading basics. Prop trading demands a solid understanding of market analysis, discipline, risk management, and quick decision-making.
Develop strong trading skills. Study trading strategies, including day trading, swing trading, technical and fundamental analysis, and risk management.
Choose the right prop trading firm. Look for firms with favorable profit splits, a supportive training environment, and reasonable fee structures.
Apply to a prop trading firm. Highlight any relevant experience, your trading track record, and your approach to risk management. Some firms require traders to complete a trading simulation test or interview to assess their potential.
Start with a training program (optional). Many firms provide training to develop traders’ skills further. These programs may be beneficial if you're new to trading or want to refine your approach within the firm’s preferred strategies.
Set up your trading platform and tools. Become proficient with the firm’s trading platform. Many firms use specialized trading software with risk controls in place. Set up charting tools, news feeds, and alerts to keep you informed about market movements in real-time.
Manage risk effectively. Prop firms typically enforce strict risk controls to prevent major losses. Familiarize yourself with these limits, and develop a risk management plan that includes position sizing, stop-loss orders, and maximum daily loss limits.
Evaluate long-term goals in prop trading. Over time, assess whether you’d like to continue scaling your work with the prop firm or if you want to explore independent trading.
Starting in prop trading requires diligence, market knowledge, and a focus on continual improvement. The right firm can provide both the capital and the support to build a successful trading career.
Considerations for beginners
Prop trading can be challenging for those new to the field. Here’s what beginners should keep in mind:
Choose firms with training programs. Look for firms offering structured training, resources, or mentorship to help you develop your skills.
Start with low leverage. While high leverage can lead to higher profits, it can also magnify losses. Start conservatively and increase leverage as you gain confidence.
Use demo accounts. Some firms offer demo accounts to help you familiarize yourself with their platforms and rules before committing real capital.
Considerations for advanced traders
If you’re an experienced trader, focus on firms that allow you to leverage your skills fully:
Dig into how the firm handles leverage. Don’t just look at the leverage they offer on the surface. Ask them if you can increase your leverage based on how well you perform or if you’re stuck with limits that might slow you down later. This kind of flexibility could make a huge difference as you get better and want to take on more.
Be picky about fees and hidden costs. High payouts sound great, but watch out for sneaky fees that eat into your profits. Are there charges for withdrawing money or using certain data feeds that they don’t advertise? The last thing you need is a surprise fee when you’re cashing in on a great trade, so make sure the costs are laid out clearly.
Find out if you can trade in different markets. If you like the idea of trading more than just U.S. stocks, see if the firm gives you access to global stocks, futures, or unique markets. Also, do they have rules that change based on which market you’re trading in, or is it one-size-fits-all? Having more options can really open up new opportunities for your trading style.
Check out their support system and trading community. Some firms have tight-knit communities where experienced traders share tips and help each other out. Does the firm have a supportive environment or experts you can lean on when things get crazy in the markets? Having people to bounce ideas off or guide you through big market moves can be a game-changer.
How much can I earn with prop trading firms?
Earnings with prop firms vary widely based on profit splits, market conditions, and personal trading performance. For example, with a 90% profit split and strong market conditions, a trader earning $10,000 monthly would keep $9,000 after the split. However, many variables impact this, including fees, leverage, and personal skill.
Factors influencing earnings:
Market volatility and trading strategy.
Consistency in performance.
Firm policies on monthly or weekly payouts.
Pros and cons
- Pros
- Cons
Access to larger capital pools than personal trading.
Professional-grade tools and mentorship.
Profit-sharing models allow significant earnings potential.
Reduced profit due to firm profit-sharing.
Evaluation requirements may pose entry barriers.
Compliance with firm trading rules may limit freedom.
Risks and warnings
While prop trading offers enticing opportunities, it also comes with risks:
Financial risks. Losses impact both the trader and the firm, often leading to tighter risk management protocols.
Regulatory risks. Ensure the firm is legally compliant to avoid regulatory setbacks or potential closure.
Operational risks. Rules vary widely; be prepared for possible restrictions on your trading freedom.
Psychological risks. Pressure to meet profit targets can affect mental well-being, emphasizing the importance of discipline and emotional control.
Pick a firm that truly cares about your growth
When you're starting out with prop trading, it might feel natural to gravitate toward the biggest names or those with the most buzz. But here’s the real insider tip: pick a firm that truly cares about your growth, one that goes beyond offering a trading platform. Look for firms that provide hands-on learning experiences and mentors who can walk you through real trades. Some firms even have pros who review your trades with you, breaking down your strengths and mistakes. This kind of focused, practical feedback can seriously boost your skills and confidence faster than any flashy firm name ever could.
Another thing that beginners often miss is how technology can be your secret weapon — but only if it’s used the right way. Avoid firms that brag about “advanced tech” without explaining how it benefits you. Instead, find one that offers tools to simplify trading, like data feeds that automatically adjust to market swings or tech that spots your trading habits so you can improve. Some firms even use smart software to give you tips on what you’re doing well and what needs work. The key is to make sure the technology is there to support your trading, not complicate it.
Methodology for compiling our ratings of prop firms
Traders Union applies a rigorous methodology to evaluate prop companies using over 100 quantitative and qualitative criteria. Multiple parameters are given individual scores that feed into an overall rating.
Key aspects of the assessment include:
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Trader testimonials and reviews. Collecting and analyzing feedback from existing and past traders to understand their experiences with the firm.
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Trading instruments. Companies are evaluated on the range of assets offered, as well as the breadth and depth of available markets.
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Challenges and evaluation process. Analyzing the firm's challenge system, account types, evaluation criteria, and the process for granting funding.
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Profit split. Reviewing the profit split structure and terms, scaling plans, and how the firm handles profit distributions.
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Trading conditions. Examining leverage, execution speeds, commissions, and other trading costs associated with the firm.
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Platform and technology. Assessing the firm's proprietary trading platform or third-party platforms it supports, including ease of use, functionality, and stability.
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Education and support. Quality and availability of training materials, webinars, and one-on-one coaching.
Conclusion
Prop trading firms offer a unique gateway to advanced trading, providing substantial capital and resources in exchange for shared profits. Selecting the right firm can help you capitalize on these benefits while managing risks effectively. As with any financial decision, do your due diligence, stay disciplined, and approach prop trading with a clear strategy to maximize your potential in the stock market.
FAQs
What qualifications do I need to join a prop trading firm?
Most firms require a skills assessment or prior trading experience.
What is the average profit split with prop trading firms?
Profit splits typically range from 50% to 90%, depending on the firm.
How can I verify a firm’s reputation?
Research reviews, regulatory status, and company history.
Can I trade outside of market hours with a prop firm?
This depends on the firm’s rules and the markets it supports.
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Team that worked on the article
Rinat Gismatullin is an entrepreneur and a business expert with 9 years of experience in trading. He focuses on long-term investing, but also uses intraday trading. He is a private consultant on investing in digital assets and personal finance. Rinat holds two degrees in Economy and Linguistics.
Chinmay Soni is a financial analyst with more than 5 years of experience in working with stocks, Forex, derivatives, and other assets. As a founder of a boutique research firm and an active researcher, he covers various industries and fields, providing insights backed by statistical data. He is also an educator in the field of finance and technology.
As an author for Traders Union, he contributes his deep analytical insights on various topics, taking into account various aspects.
Mirjan Hipolito is a journalist and news editor at Traders Union. She is an expert crypto writer with five years of experience in the financial markets. Her specialties are daily market news, price predictions, and Initial Coin Offerings (ICO).
Swing trading is a trading strategy that involves holding positions in financial assets, such as stocks or forex, for several days to weeks, aiming to profit from short- to medium-term price swings or "swings" in the market. Swing traders typically use technical and fundamental analysis to identify potential entry and exit points.
Day trading involves buying and selling financial assets within the same trading day, with the goal of profiting from short-term price fluctuations, and positions are typically not held overnight.
Forex leverage is a tool enabling traders to control larger positions with a relatively small amount of capital, amplifying potential profits and losses based on the chosen leverage ratio.
Risk management is a risk management model that involves controlling potential losses while maximizing profits. The main risk management tools are stop loss, take profit, calculation of position volume taking into account leverage and pip value.
Volatility refers to the degree of variation or fluctuation in the price or value of a financial asset, such as stocks, bonds, or cryptocurrencies, over a period of time. Higher volatility indicates that an asset's price is experiencing more significant and rapid price swings, while lower volatility suggests relatively stable and gradual price movements.
