Biggest Prop Trading Companies in the world
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Proprietary trading companies, otherwise known as prop firms, are programs that hire or train professional and experienced traders to invest in them. Prop firms often provide capital to qualified traders ranging from thousands to millions of dollars in some cases.
The main advantage of a prop trading company is that it allows traders to enjoy the leverage of doing what they love, along with a pool of capital often larger than they can afford. This guide will provide information on the top 10 biggest proprietary trading firms and how much a trader can earn from them.
10 biggest proprietary trading firms in 2023 are:
| Prop Trading Firm | Maximum Provided Funding | Payouts |
|---|---|---|
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$400k |
$29 million (2021) |
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$10 million |
Undisclosed |
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$4 million |
$22 million |
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$4 million |
Undisclosed |
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$2.8 million |
Undisclosed | |
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$2 million |
Undisclosed |
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$1.5 million |
Undisclosed |
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$1 million |
Undisclosed |
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$600k |
Undisclosed |
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$200k |
Undisclosed |
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Is trading for a prop firm profitable?
Yes, trading can be profitable when done through a reputed prop firm. However, success depends on the individual's trading skills. On average, only about 5% of applicants pass the challenges to get funded accounts while about 1% hold onto their accounts long-term.
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What are the requirements to get funded by a prop firm?
Most firms require applicants to pass rigorous demo trading challenges within a set time period with certain profit targets and risk management. Other requirements include following the firm's trading rules and terms, paying application/trial fees, and having sufficient experience.
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What happens if I lose the provided capital?
Prop firms have maximum allowable account drawdown limits, usually 10-20%. If losses exceed that, the funded status may be revoked.
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Is prop trading better than retail trading?
Prop trading provides some key advantages over retail - larger trading banks, advanced platforms, lower commissions/fees, and risk management support. However, it comes with strict rules. For experienced traders, prop can be better suited than trading personal capital.
What are the biggest prop firms in the world?
The biggest prop trading companies offer very large account sizes and profit splits along with institutional-grade education, webinars, and support programs targeted at helping traders remain profitable. Here are the 10 of the biggest prop trading firms in the world:
Best Forex Prop Firms10. Earn2Trade Forex
Earn2Trade Forex is a global prop trading firm that tests traders with $25,000 and $50,000 in pre-funded accounts. To get a funded account, traders must pass one of the three Earn2Trade assessment challenges to determine how much they can receive.
Funded accounts range between $25,000 and $200,000, with a profit goal of only 6%. Earn2Trade has a sharing ratio of 80/20 favoring the traders. The major limiting factor is that this prop firm does not support MetaTrader 4 and 5. Traders are restricted to only trading CME futures assets.
9. My Forex Funds
My Forex Funds was founded in 2020 with the aim of becoming the leading prop trading firm. My Forex Funds has achieved its goals, funding over 120,000 traders from 80 countries. My Forex Funds offer three different programs.
Traders receive accounts ranging from $10,000 to $100,000. However, traders can have multiple accounts, taking the maximum funding to $300k in the evaluation stage and $600,000 after. Traders receive 75% of their profits in the first month of trading live, 80% in the second month, and 85% after the third month.
8. BluFX
BluFX is one of the fastest-rising prop trading firms, having only launched in 2015. BluFX has funded over 90,000 traders in over 140 countries. Funding for traders starts at $10,000 and can be scaled up to $1 million with the Super Pro Package.
BluFX supports 24-hour trading on 29 pairs and zero loss liability. Funded traders can begin cashing out after they reach 5% profits. To register, traders need to pay one-time fees charged based on the account funding account size. The major downside to receiving a funding account from BluFX is their 50/50 sharing ratio.
7. The Funded Trader
The Funded Trader is a top-rated prop trading firm with some unique rules. Traders are allowed to trade with 1:100 leverage with their own trading styles. Traders receive up to $600k in funding that can grow up to $1.5 million via a scaling plan.
The Funded Trader has a default live account payout ratio of 80% generated profits but is increased to 90% when the trader meets the terms of their account.
6. Fidelcrest
Founded in 2018, Fidelcrest has quickly grown to become one of the biggest prop trading companies. Fidelcrest has funded over 6,000 traders from over 170 countries with 13 different account types based on their experience and capital requirement.
Traders who pass the 30-day trial trading period receive a start capital of $150,000 that can be scaled up to $2 million at a maximum loss of 10% - 20%. With Fidelcrest, traders can receive between 80% and 90% of their profits. It is also one of the most flexible prop firms, supporting seven brokers and more than 1,000 different financial instruments.
5. Audacity Capital
Since 2012, Audacity Capital has provided professional Forex traders in over 140 countries with capital. Funding starts from $15,000 live capital with a fast-scaling plan that can double the trading account size if the trader hits the 10% target, reaching up to $480,000 of capital.
Audacity Capital distributes $2.8 million in monthly payouts with a profit share of 50/50. Unlike most prop firms, traders are not required to pass a demo/challenge to receive funding. Audacity Capital offers traders premium liquidity, zero commission, and no swap fees
4. 5%ers
The 5%ers is a global Funding Traders & Growth Program founded in 2016 with an outstanding reputation and one of the most competitive payouts. Traders receive $100,000 in their Bootcamp trading accounts immediately after completing their challenges.
The account size doubles every time a trader reaches a milestone and can grow up to $4 million. 5%ers has some of the biggest libraries of prop firm trading courses and workshops designed to bring the best out of traders. The 5%ers offer a 50/50 split on profits, which is lower than what competitors offer.
3. FundedNext
Launched in 2022, FundedNext has quickly become one of the biggest prop firms in the world. Headquartered in the United Kingdom, FundedNext provides traders with up to $200,000 in funding that can be scaled up to $4 million via a scaling plan.
In its first full year of operation, the prop firm has funded over 17,000 traders and disbursed more than $22 million in payouts. The 90/10 profit sharing of FundedNext is the most competitive in the industry. However, due to the large account sizes, traders are required to follow relatively stricter rules.
2. Lux Trading Firm
Lux Trading Firm is one of the most trusted and well-known prop trading firms based in London. Live funded accounts on Lux Trading Firm start at $200,000, with the account size doubling every time the trader generates a trading profit equivalent to 10%.
For advanced traders, the account size can get as high as $10 million in the Fund Manager category that comes with a mentorship program. Lux Trading Firm has a generous sharing ratio of 75/25 favoring the trader.
1. FTMO
FTMO is one of the biggest prop trading firms and the winner of Deloitte's Technology Fast 50 for 2022. FTMO has over 960,000 funded trader programs, paying out over $29 million to traders in 2021. Funded traders on FTMO earn up to 90% of their profits, making it one of the most attractive prop firms.
Traders get accounts funded with a minimum of $10k, which can get up to $400k. However, traders would first need to complete the unique 2-step Evaluation Course of FTMO, where they must meet profit targets for the first 30 days. FTMO has one of the widest arrays of currency pairs and also supports cryptocurrencies cash indices, commodities, and stock CFDs.
What is The Best Proprietary Trading Firm for a Funded Trader?Summary Table of Some Best Firms for Prop Trading
| Prop Trading Firm | Start Capital | Maximum Capital | Profit Split | Payouts | Year Founded |
|---|---|---|---|---|---|
$10k |
$400k |
90/10 |
$29 million (2021) |
2014 |
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$200k |
$10 million |
75/25 |
Undisclosed |
2021 |
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$15k |
$4 million |
90/10 |
$22 million |
2022 |
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$10k |
$4 million |
50/50 |
Undisclosed |
2022 |
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$15k |
$2.8 million |
50/50 |
Undisclosed |
2012 |
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$150k |
$2 million |
80-90% |
Undisclosed |
2018 |
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$50k |
$1.5 million |
80-90% |
Undisclosed |
2021 |
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$10k |
$1 million |
50/50 |
Undisclosed |
2016 |
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$10k |
$600k |
75-85% |
Undisclosed |
2020 |
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$25k |
$200k |
80/20 |
Undisclosed |
2016 |
What is the best prop firm by profit share?
The highest paying prop trading firms offer the highest cut for traders, which is 90% of their generated profit. FTMO, Fidelcrest, and FundedNext can be regarded as the best prop firms by profit shares, offering traders the chance to earn up to 90%.
Is funded trading profitable?What is the best proprietary company by maximum account size?
Lux Trading firm stands out among proprietary companies, offering a maximum account size of $10 million. FundedNex and 5%ers are also solid options, offering professional traders the opportunity to manage accounts of up to $4 million.
Is Trading for a Prop Firm Worth It? How Much Can I Earn?Expert Opinion on Biggest Prop Trading Firms
Prop firms offer a tempting proposition: access to large capital, mentorship, and a demanding but potentially lucrative trading environment. Choosing one to work with is like picking a trading partner only there’s a lot more at stake.
While a good prop firm can work with you to magnify profits, many traders might buckle under the high pressure of strict performance targets and profit sharing. That is if you even make it through the demanding selection process.
To ensure you choose the right firm or any firm at all, it’s essential to be honest with yourself about your trading skills, and your ability to deal with high pressure and potentially large losses. You also must consider your needs and preferences. For example, does the firm accommodate your trading style and experience level?
There’s no “one-size-fits-all” prop firm. You must take a deep dive into different firms to research and compare such things as their funding options, evaluation process, profit sharing structure, and trading restrictions. Above all, it’s critical to check their reputation and regulatory compliance.
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:
Trader Testimonials and Reviews. Collecting and analyzing feedback from existing and past traders to understand their experiences with the firm.
Trading instruments. Companies are evaluated on the range of assets offered, as well as the breadth and depth of available markets.
Challenges and Evaluation Process. Analyzing the firm's challenge system, account types, evaluation criteria, and the process for granting funding.
Profit Split. Reviewing the profit split structure and terms, scaling plans, and how the firm handles profit distributions.
Trading Conditions. Examining leverage, execution speeds, commissions, and other trading costs associated with the firm.
Platform and Technology. Assessing the firm's proprietary trading platform or third-party platforms it supports, including ease of use, functionality, and stability.
Education and Support. Quality and availability of training materials, webinars, and one-on-one coaching.
Glossary for novice traders
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Broker
A broker is a legal entity or individual that performs as an intermediary when making trades in the financial markets. Private investors cannot trade without a broker, since only brokers can execute trades on the exchanges.
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Trading
Trading involves the act of buying and selling financial assets like stocks, currencies, or commodities with the intention of profiting from market price fluctuations. Traders employ various strategies, analysis techniques, and risk management practices to make informed decisions and optimize their chances of success in the financial markets.
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3
Prop trading
Proprietary trading (prop trading) is a financial trading strategy where a financial firm or institution uses its own capital to trade in various financial markets, such as stocks, bonds, commodities, or derivatives, with the aim of generating profits for the company itself. Prop traders typically do not trade on behalf of clients but instead trade with the firm's money, taking on the associated risks and rewards.
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Leverage
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.
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Cryptocurrency
Cryptocurrency is a type of digital or virtual currency that relies on cryptography for security. Unlike traditional currencies issued by governments (fiat currencies), cryptocurrencies operate on decentralized networks, typically based on blockchain technology.
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.
Dr. BJ Johnson is a PhD in English Language and an editor with over 15 years of experience. He earned his degree in English Language in the U.S and the UK. In 2020, Dr. Johnson joined the Traders Union team. Since then, he has created over 100 exclusive articles and edited over 300 articles of other authors.
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).