FTMO vs The5ers - full comparison
| Feature | FTMO | The5ers |
|---|---|---|
Overall |
4.22 |
3.98 |
4.5 |
3.5 |
|
4.3 |
4.5 |
|
3.7 |
3.5 |
|
4.7 |
4.5 |
|
Benefits for Prop-trader |
3.9 |
3.5 |
4.2 |
4.4 |
|
|
Your capital is at risk.
|
Your capital is at risk.
|
FTMO vs The5ers: pros and cons
To qualify for a funded trading account at FTMO, you must go through a rigorous three-step process: Enter the FTMO Challenge, where you must meet the profit targets within 30 days. Begin the 60-day Verification Procedure, during which you must demonstrate that you can repeat your FTMO Challenge success. After completing the two-step review procedure with the FTMO Challenge and Verification, you will be contacted by FTMO with an offer to trade their capital on accounts ranging from $10,000 to $400,000. A great fact to note is that FTMO’s stronghold is its currencies. This is the best place to consider a forex funded account, if you enjoy trading currencies. You can trade 44 currency pairs as well as 10 cryptocurrencies. Furthermore, cash indices, commodities, and stock CFDs are available for trading. The free versions of the three most popular forex trading platforms, MetaTrader 4, MetaTrader 5, and cTrader, are accessible.
The 5%ers are known for their unique ways of handling forex funded accounts. These methods may be beneficial to traders who would like to try something different. The 5%ers take a completely different path from the other apps on this list. Each funded trading account is a live, real-money funded trading account funded by The5ers and tradeable by subscribers. All forex majors such as EUR/USD, USD/CHF, and key cross-currency pairs such as AUD/CAD and GBP/JPY are tradable assets. Each trader must complete the Level 1 Program with a profit target ranging from 10% to 25%. The Level 1 Program will be closed once the profit target has been archived by trading according to the guidelines. Profit will be distributed in accordance with the profit split, and a new trading account on the next higher financing level will be established with you as a Portfolio Manager Partner.
| FTMO | The5ers | |
|---|---|---|
| Overall Pros | Quite low testing cost is €155 | 7 currency pairs, 2 precious metals, 6 indices and over 3,000 securities available for trading |
| Classic platforms such as MT4, MT5, and Ctrader are familiar to many traders. For these platforms, hundreds of indicators, scripts, and advisers have been developed | Prop-company finances traders free of charge in the amount of 6 thousand US dollars, depending on the deposit | |
| The starting reward is 80% | There is a demo account and a training program for novice traders with funding | |
| Diversification of tariff plans. Candidates can choose a demo deposit from 10 thousand to 200 thousand US dollars. There are tariff plans that span from standard to aggressive trading | Standard leverage 1:10, by increasing the deposit and additional options, it can be increased to 1:30 | |
| Leverage is up to 1:100 | The platform provides trading tools, analytics, strategy ideas, economic calendar | |
| Overall Cons | Strict requirements for the test period. The allowable maximum loss is 10% of the deposit amount. The target profit is 10%, for which 1 month is provided | A trader cannot have more than 3 accounts, and if accounts are inactive for 21 days, they are automatically closed |
| Strict requirements for the test period. The allowable maximum loss is 10% of the deposit amount. The target profit is 10%, for which 1 month is provided | ||
| There is no information about how the company is funded |
FTMO vs The5ers - regulation and safety
| FTMO | The5ers | |
|---|---|---|
Regulators |
No |
No |
Country of registration |
Czech Republic |
Israel |
Year of establishment |
2014 |
2016 |
Reliability of a prop trading company largely depends on its registration and regulation. The most reliable companies operate in compliance with laws of countries with high legal culture, such as the U.S., the UK, EU countries, Australia and Singapore.
A long period of operation in the global markets and awards can also provide additional information about the company. TU compared regulation and reliability of FTMO and The5ers by the above criteria.
FTMO vs The5ers - trading conditions, costs and leverage
FTMO
| Trading Plan | Managed amount, USD | Min trading days / Trading period | Profit target, USD | Daily loss | Max total loss | Max leverage | Price, USD |
|---|---|---|---|---|---|---|---|
| Normal | 10 000 | 10/30 (Stage 1) 10/60 (Stage 2) | 1000 (Stage 1) 500 (Stage 2) | 5% | 10% | 155 EUR (one-time payment) | |
| 25 000 | 2500 (Stage 1) 1250 (Stage 2) | 5% | 10% | 250 EUR (one-time payment) | |||
| 50 000 | 5000 (Stage 1) 2500 (Stage 2) | 5% | 10% | 345 EUR (one-time payment) | |||
| 100 000 | 10000 (Stage 1) 5000 (Stage 2) | 5% | 10% | 1:100 | 540 EUR (one-time payment) | ||
| 200 000 | 20000 (Stage 1) 10000 (Stage 2) | 5% | 10% | 1080 EUR (one-time payment) | |||
| Aggresive | 10 000 | 2000 (Stage 1) 1000 (Stage 2) | 10% | 20% | 250 EUR (one-time payment) | ||
| 25 000 | 5000 (Stage 1) 2500 (Stage 2) | 10% | 20% | 345 EUR (one-time payment) | |||
| 50 000 | 10000 (Stage 1) 5000 (Stage 2) | 10% | 20% | 540 EUR (one-time payment) | |||
| 100 000 | 20000 (Stage 1) 10000 (Stage 2) | 10% | 20% | 1080 EUR (one-time payment) |
The5ers
| Trading Plan | Managed amount, USD | Min trading days / Trading period | Profit target, USD | Daily loss | Max total loss | Max leverage | Price, USD |
|---|---|---|---|---|---|---|---|
| Low | 6 000 | no limitations/180 | 375 (6,2%) | No | 360 USD | 1:10 | 235 EUR (one-time payment) |
| 10 000 | 600 (6%) | 600 USD | 385 EUR (one-time payment) | ||||
| 20 000 | 1400 (7%) | 1200 USD | 745 EUR (one-time payment) | ||||
| Aggressive | 6 000 | no limitations/60 | 720 (12%) | 360 USD | 1:30 | 235 EUR (one-time payment) | |
| 10 000 | 1200 (12%) | 600 USD | 385 EUR (one-time payment) | ||||
| 20 000 | 2400 (12%) | 1200 USD | 745 EUR (one-time payment) | ||||
| Bootcamp | 100 000 | no limitations/12 months | 6% | 5% | 1:10 | 95 EUR (one-time payment) | |
| 250 000 | 225 EUR (one-time payment) |
Prices of offered trading plans, minimum and maximum amount under management are the most interesting aspects of a prop trading company. Risk management levels for maximum losses and profit targets also play the key role.
FTMO vs The5ers - profit split
| Profit split | FTMO | The5ers |
|---|---|---|
Managed amount |
up to USD 400,000 |
USD 100,000-250,000 |
% Profit split |
80% (with a possibility of an increase to 90%) |
50% with by-stage increase to 100% |
Profit split is one of the most interesting criteria for traders. Learn about the share of trading profit you can earn by traders with FTMO and The5ers.
FTMO vs The5ers - trading restrictions
| Trading restrictions | FTMO | The5ers |
|---|---|---|
Scalping |
Allowed |
Tick scalping is prohibited |
News trading |
Allowed (for Swing Account). For other account, the limitations is +/-2 minutes |
Allowed |
Algorithmic trading |
Allowed |
Allowed |
Mandatory Stop Loss |
No |
No |
Mandatory position closing before the weekend |
No (for Swing Account) |
No |
Other limitations |
For traders who received real equity to manage after passing the exam, there are restrictions on daily / total loss of 5% / 10% |
Arbitrage and copying signals are prohibited |
Some prop trading companies have limitations for certain trading strategies. There can also be limitations for trading without Stop Loss, trading position rollover to weekend, etc.s
FTMO vs The5ers - trading assets
| Asset Name | FTMO | The5ers |
|---|---|---|
Forex |
Yes |
Yes |
Stocks |
No |
No |
Metals |
Yes |
Yes |
Cryptocurrencies |
Yes |
No |
Energy |
Yes |
No |
Indices |
Yes |
Yes |
ETFs |
No |
No |
Bonds |
No |
No |
Mutual funds |
No |
No |
Stock options |
No |
No |
Futures Trading |
No |
No |
Others |
No |
No |
Most prop trading companies focus their trading on specific markets: stock, Forex, futures and options, and in some cases cryptocurrency. If you have a preference of a specific market, compare FTMO and The5ers trading assets to make a better informed choice.
FTMO vs The5ers - trading platforms
| FTMO | The5ers | |
|---|---|---|
МТ4 |
Yes |
No |
МТ5 |
Yes |
Yes |
cTrader |
Yes |
No |
NinjaTrader |
No |
No |
Other |
No |
No |
|
Your capital is at risk.
|
Your capital is at risk.
|
Trading platform is very important to many traders, particularly those who already have experience of working with trading bots and strategies on one of them. Prop trading companies mostly offer to work with MT4, MT5 and cTrader Forex trading platforms as well as proprietary platforms of large brokers. Compare trading platforms of FTMO and The5ers to make the best choice.
FAQs
How to get funded as a trader
You need to select one or several companies that seem interesting to you, review their conditions, submit an application and pass the primary selection of traders. As a rule, prop trading companies offer educational courses or organize competitions on demo accounts, based on the results of which you can receive financing.
Do prop trading companies operate legally?
Prop trading companies operate in the market for many years and value their reputation, therefore organizing their activities in compliance with the law. Companies from the U.S., the UK, Australia and other countries with a high legal culture are considered the most reliable.
Can anybody become a prop trader?
You don’t need special education and status to become a prop trader. The main selection criterion is the ability to trade successfully and meet company’s risk/reward requirements.
What are the main benefits of working with a prop company?
Firstly, you will be able to raise a substantial amount for trading, which will greatly improve your possibilities and potential profit. You will be able to use less risky strategies and earn decent income. Also, prop trading companies help traders to improve their professional level by offering educational courses, seminars, and exchange of experience.
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Team that worked on the article
Mikhail Vnuchkov joined Traders Union as an author in 2020. He began his professional career as a journalist-observer at a small online financial publication, where he covered global economic events and discussed their impact on the segment of financial investment, including investor income. With five years of experience in finance, Mikhail joined Traders Union team, where he is in charge of forming the pool of latest news for traders, who trade stocks, cryptocurrencies, Forex instruments and fixed income.
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.
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).