Best Funded Trader Programs in Malaysia
Best Funded Trader Program in Malaysia - Topstep
Best Funded Trader Programs in Malaysia:
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Topstep - at income up to $5000 the broker pays the trader 100% of earnings
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E8 Funding - traders retain 80% of profits
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FTMO - at the first stage of real trading 80% payment is envisaged, when the scaling plan is achieved the payment is raised to 90%
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Elite Trader Funding - a trader receives 100% of profits for income up to $12,500, when the amount of income increases, the profit is distributed in the ratio of 80/20
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The5ers - the profit is distributed in a 50/50 ratio
Financed programs in Malaysia are an opportunity for both beginners and professional traders to earn on financial markets without investing their own capital. A part of the profit earned is taken by the company and the other part remains at the trader's disposal.
You will learn about the pros, cons, features and potential risks of funded programs in this material.
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Is funded trading profitable in Malaysia?
Funded programs can bring traders a good profit, but its size depends directly on your skills, trading experience and the chosen program. It is ideal if the company offers 80/20% profit sharing in favor of traders and sets adequate goals for them.
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What is the best funded site for Forex in Malaysia?
The best choice for traders from Malaysia would be Topstep. The company offers a choice of three accounts - $50,000, $100,000 and $150,000. If you earn up to $5,000 on a live account, the broker pays the trader 100% of your earnings, and more than $5,000 - 80%.
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Are prop firms legal in Malaysia?
Yes, proprietary firms are perfectly legal in Malaysia, but it is important not to forget that the company providing the financing is required to report to the local public law institution, the Securities Commission Malaysia (SCM).
What is a Funded Trading Program?
With a funded trader program, traders have the opportunity to trade using a prop firm’s money. You and the proprietary firm share the profits you generate in the funded account.
The trading industry is a thriving field where many people are trying to learn more each day, but it's not just about knowing the basics, it's about knowing how to manage your money and being successful.
It’s becoming easier for people to learn trading skills and strategies online and become consistently profitable traders, however, many individuals don’t have very much investment capital to work with so that they can generate substantial amounts of money from their profitable trades.
By offering trader education resources, webinars, and support, good funded trader programs help you get started in trading with more than just trading capital. It's also important to have a trading platform of the highest quality and a partner company that offers funded accounts of the highest quality.
The advantage of funded trader accounts, as opposed to a Personal Forex account, is the reduced risk. Real-time data and a useful platform are available for a small monthly fee. Once you prove you possess the necessary skills, you’re granted access to a funded account. Upon getting funded, you get to keep up to 90% of the profits that you generate from trading.
👍 Pros of funded trading accounts:
• Funded traders have the benefit of being free to use the funds allocated to their accounts as they see fit.
• Funded traders have access to more immediate capital to make larger market moves than unfunded traders.
• As a funded trader, you're somewhat protected since you don't use your own money.
• Obtaining licensure and passing certification programs can be very challenging for new professionals and solo traders. When you become a funded trader, you get the necessary licenses and certifications to start trading immediately.
• Instead of requiring you to work from an office, most funded trading programs allow you to trade from anywhere you have Internet access.
👎 Cons of funded trading accounts:
• Despite nominal freedom of use, funded traders are required to follow certain rules and regulations under the sponsorship of their company. As part of these rules, there are daily loss limits, maximum positions, and other requirements.
• Being a funded trader also takes time, especially if you lack the knowledge or expertise to take a program immediately.
• It’s possible for your profits to be lower than you expected for the first few years when trading with certain trading companies because they impose enormous fees on their funded traders.
Best Funded Trading Programs in Malaysia
Topstep is the best option for day traders
With its brand power and reputation as an industry innovator and one of Inc 5000’s fastest-growing companies, Topstep has earned the trust of many traders. To participate in the funded account program, all traders begin with the Trading Combine. You can open a real-time simulated futures account with $50K, $100K, or $150K buying power.
During the Trading Combine, you can earn a funded trading account if you demonstrate consistent profitability and manage risk appropriately. Using Topstep's capital, you can trade in real time without personal financial risk, with funds provided by Topstep.
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As quickly as within eight trading days, traders can qualify to receive a funded account (the amount of funding provided is determined by the Trading Combine plan).
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The first $10,000 in profits you make can be withdrawn in full, and 90% of profits exceeding that amount can be withdrawn.
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With Topstep, payout requests are processed on a daily basis (payout requests made prior to 10 a.m. CT are processed on the same day).
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Topstep’s trader development services include instruction from professional traders, tools, and daily live videos, along with personalized analytics on performance and bonuses for traders.
Trading platforms supported include TSTrader, TradingView, NinjaTrader, Sierra Chart, MultiCharts, R|Trader Pro, and many more.
For a $50k account, Topstep pricing starts at $165 per month. $100k accounts cost $325 per month, and $150k accounts cost $375. Free trials are also available for 14 days.
E8 Funding - traders retain 80% of profits
Founded only in 2021 by CEO Dylan Elchami, E8 Funding is one of the “newest” babies of the big but close-knit circle of proprietary trading firms. It uses MetaTrader4 and 5 as its software, much like many other trading accounts.
Traders in the platform trade commodities, crypto, Forex, and equities. The leverage is up to 1:100, the maximum initial deposit is $300,000 (scalable to $1.0M+) and the account sizes are between $25,000 and $100,000.
E8 has a two-phase evaluation stage, which users need to complete before they start trading. While this may sound like a challenge, the good news is that once you complete the evaluation, you can start trading on the same day!
There are two accounts that the platform offers - the classic E8 and the premium ELEV8. In E8, traders are given requisite funding once they finish the evaluation and they can keep up to 80% of the profits to themselves.
This is not the case in ELEV8 where the traders are given the funds instantly and they can keep up to 90% of the profits to themselves. Additionally, traders with ELEV8 accounts have the advantage of their account size increasing by $100,000 every 30 days when they continually hit their profit targets.
For an entry account, the maximum initial deposit and the profit target (to be completed in 30 days), is $2,000 while the daily floating and closed loss is $1250. These targets, maximum losses, and drawdowns however vary from one account size to another.
FTMO - starting reward is 80% of the profit
FTMO is a prop trading firm that specializes in Forex trading, and has won several awards in the field. FTMO traders received over $23,000,000 in payouts in 2021 with an average payout processing time of 8 hours.
To qualify for a funded trading account at FTMO, you must complete three steps.
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Within 30 days, you must reach the defined profit goals of the FTMO Challenge.
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Once you've successfully completed the FTMO Challenge, you enter the 60-day Verification process.
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FTMO will offer you an account range of $10,000 to $400,000. This is after you pass the two-step evaluation process with the Challenge and Verification.
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Traders keep 80% of their profits for withdrawal according to the 80:20 profit split. In addition, for funded accounts with account sizes of $2,000,000 or greater, traders have the option to increase their profit split up to 90:10 with a Scaling Plan.
There are 44 currency pairs and 10 cryptocurrencies you can trade. You can also trade stock CFDs, commodities, and indices.
FTMO excels at currency trading, while Topstep excels at futures trading.
Free versions are available of the three most popular trading platforms, MetaTrader 4, MetaTrader 5 and cTrader.
In order to participate in the FTMO Challenge, traders must pay a one-time fee. USD, GBP, EUR, CZK, CAD, AUD and CHF can be used to fund the account, but only Euro can be used to pay the challenge fee. For the $10k account, the participation fee starts at 155 EUR. For the $25k account, the cost is 250 EUR, for the $50k account, 345 EUR, for the $100k account, 540 EUR, and for the $200k account, 1,080 EUR.
Elite Trader Funding - the best option for remote funding
With Elite Trader Funding's EOD program, you get the best value in futures evaluations with end-of-day drawdown. One-step evaluations with single overall trailing drawdown are a lower-cost option for traders looking to avoid daily drawdown limitations of EOD drawdown programs.
If you are an aggressive trader looking to use Elite Trader Funding programs, you can sign up for Elite Trader Funding Fast Track evaluations where you can receive up to $6,500 in drawdown allowance for just $150. You’ll also receive $160 of Free Data once you’re qualified for live funding.
A $25K Mini Track Evaluation starts at $45 and must be completed within a maximum of 14 calendar days and a minimum of 10 trading days (not much wiggle room). This option requires you to be a seasoned trader with a high level of confidence and expertise in day trading futures.
Also worth noting are the Free Data Specials on the $100K and $250K evaluations and the resets on the EOD and 1step, but not on fast tracks. As a fourth type of evaluation, Elite offers Static Drawdown Evaluations, which are exactly what their name suggests. Evaluations of this type have a maximum loss and no trailing drawdown. It’s also important to note that the minimum allowed balance doesn’t change over time.
The5ers - the profit is distributed in a 50/50 ratio
In comparison to the other programs mentioned in this list, The5ers take an entirely different approach. The5ers fund each funded trading account with real money, so subscribers can trade with it.
Traded securities include all Forex majors, such as EUR/USD, USD/CHF, and major cross pairs, such as AUD/CAD and GBP/JPY. The Level 1 Program requires every trader to achieve a profit target between 10% and 25%.
Upon reaching the profit target by trading according to the rules, the Level 1 Program will be closed. As a Portfolio Manager Partner, you will receive profits according to the profit split, and a new trading account will be opened for you on the next funding level.
A key difference between this trading account and the others is its ease of use. 50:50 profits are split between The5ers and their members. Accordingly, the trader keeps half of the profit.
Each of the programs is hosted on the MetaTrader 5 trading platform. The participation fee ranges from $275 to $875.
Rules and Regulation
Regulation
There is no direct requirement for licensing of prop firms to provide services to residents of the country. To work on the local market, registration is enough. Foreign companies can also provide their services to traders from Malaysia without licenses. The only requirement for market participants is the compliance with Sharia law.
Investor protection
If you work with the national prop firm, you can apply to the following local regulators:
- MIDA (the Malaysian Investment Development Authority);
- FAA (the Finance Accreditation Authority);
- SAC (the Shariah Advisory Council);
- Local law enforcement bodies.
If traders work with foreign prop firms and brokers, they file complaints with regulators at the place of their registration. Traders can also apply to self-regulatory organizations and regional regulators.
Taxation
A progressive tax rate applies in the country, increasing from 1% to 30% based on taxable income. Income of residents up to MYR 5,000 is not taxable. There are also certain religious nuances. Capital gains on Islamic accounts are not taxable and a different accrual model is applied to them.
Funded Trading Programs in Malaysia Compared
For a quick overview of the funded trader programs discussed here, we compiled a table highlighting the important points.
| Best for | Trial period | Profit Share | Cost | Markets | |
|---|---|---|---|---|---|
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New day traders |
14 days |
100% |
$495 for 3 month membership, $990 for 6 month membership |
Futures |
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|
motivated traders |
30 days to complete the first phase and 60 days to complete the second phase of the evaluation process |
Up to 90% |
From $228 to $988 depends on account size |
Currency pairs, cryptocurrencies, indices, stocks, energies, and metal SFDs |
|
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Experienced traders |
14 days |
Up to 90% |
$139.50 to $972 |
Forex, indices, commodities, stocks, crypto |
|
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Remote funding |
14 days |
100% of the first $12,500 of profit in funded account and 80% profit split thereafter |
$45 to $75,000 |
Futures |
|
|
Traders using MT5 p latform |
None |
50% |
$275 to $875. |
Forex, metals, and indices |
How Do I Become a Fully Funded Trader in Malaysia?
The first step is to tighten up your knowledge and skills. A trader applying for full funding must have a good understanding of the financial markets, be able to anticipate them and be disciplined. He must also sharpen his strategy. Trading on a demo account will help him with this task.
When you feel confident in your own abilities, move on to the next steps:
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Research the funded programs available in Malaysia and choose the ones that fit your trading style, goals and risk tolerance.
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Submit an application to be considered for the competition.
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Take the assessment, which often consists of several steps.
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Get financing.
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Adhere to the goals set by the company, pre-agreed trading strategy and risk management guidelines, and periodically monitor your performance.
How Much Money Can I Make?
One question that always nags at potential traders is how much money they can make when they set out to become funded traders. The response to this question is complex and dependent on a number of important variables. For instance:
Funding Level
The foundation of the funded trader programs lies in the financing amount provided by the trading firm. These values range widely, from a few thousand dollars to large sums in the six figures. For example, some might provide traders a $25,000 beginning capital, while the most outstanding companies give over $1 million per account.
Profit split
Profits are split between the trader and the trading firm in funded trader programs. The profit split ratio is fixed and specified in the program agreement. Traders typically receive up to 70%-90% of the profits they make.
Trading Strategy
Choosing a suitable trading strategy is also critical. High-risk strategies may create huge short-term rewards, but they also carry a higher risk of loss. Conservative techniques produce more steady, consistent growth over longer time spans. Your strategy must balance risk and reward so that you can profit from multiple deals while avoiding catastrophic losses.
Effective risk management is essential as profits can be greatly increased with a well-defined and properly researched approach. Keep in mind that trading tactics are governed by different regulations and guidelines at different trading firms. Also traders should consider strict rules of most funding programs. Usually, they limit maximum loss to 4-10%.
How to Choose a Funded Trading Program in Malaysia
Choosing the right funded program in Malaysia is critical to your success in the trade. Here are five important tips to consider when making your choice:
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Regulation. Ensure that the proprietary firm is regulated by a reputable financial authority. For example, the Securities Commission Malaysia (SCM) or other international public law institutions. Also, check if there are additional security measures in place. Check how the company protects traders' personal data as well as their monetary capital.
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Trading Style. When selecting a funded program, make sure your trading style matches the company's needs, as each firm has different trading strategies, risk management approaches, etc.
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Available instruments. Pay attention to the range of assets the company offers. For example, some firms specialize exclusively in futures trading, while others have a wider range of instruments - currency pairs, stocks, indices, commodities, etc.
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Reputation. This criterion is of paramount importance. To understand how much the firm's statements correspond to the real state of affairs, analyze the reviews of traders who have already managed to test the program. Also pay attention to the age of the firm. Companies that have been operating for less than a year are not the best choice.
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Support Service. The company's support team should always be on call to promptly assist the trader in solving problems that may arise during his trading adventure.
Is trading for a prop firm halal?
Trading and other modern forms of monetary exchange are the subject of heated debates among representatives of the Muslim community. Anything that violates the teachings of the Holy Qur'an is considered "haram", i.e. it is forbidden. Among the practices forbidden by the Holy Quran are gambling and riba (unlawful increase of money or certain goods agreed upon when lending money or concluding a transaction).
So when choosing a funded program, ask yourself if the company offers an Islamic or Swap-Free account that complies with Shariah Riba law, prohibits interest payments of any type, and is 100% halal.
Are Funded Trading Programs Trustworthy?
If you choose the right company to work with, funded trading programs can be very trustworthy. Nonetheless, this is a new business model for this industry. Program quality varies from company to company. It is also possible that some scam their customers just out of greed. Due diligence and proper research are, therefore, highly recommended.
Expert Opinion
Funded accounts seem an attractive option for many traders and are perceived by them as a risk-free path to significant earnings. However, that is not entirely true, and like any path in trading, it cannot be easy and accessible to everyone. To some extent, it can indeed be one of the development options for an experienced trader who has a chance to pass the evaluation phase. For a mid-level trader who has been trading profitably for some time with their small capital, trying copy trading programs as a source of trading signals might be more feasible. This allows for development while continuing to work with a psychologically comfortable amount. For novice traders, participation in prop trading challenges is not recommended due to the high skill requirements for candidates
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.
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Team that worked on the article
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.
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).