Best Forex Proprietary Trading Companies In Germany



Editorial Note: While we adhere to strict Editorial Integrity, this post may contain references to products from our partners. Here's an explanation for How We Make Money. None of the data and information on this webpage constitutes investment advice according to our Disclaimer.
If you're too busy to read the entire article and want a quick answer, the best Forex prop firm in Germany is Plus500. Why? Here are its key advantages:
- Is legit in your country (Identified as United States
)
- Has a good user satisfaction score
- Exclusive access to advanced strategies and in-depth research insights
- Rewards tied directly to performance outcomes
Best Forex prop firms in Germany are:
- FundedNext - Beginners-friendly offers (free trial, trade copier software is allowed)
- Hola Prime - A prop trading firm licensed by the FSC of Mauritius that provides funding up to $500,000 with the potential to scale accounts to $4 million
- SabioTrade - Best for those who want to work as non-staff traders with up to 90% of profit
- Instant Funding - Prop firm offering instant funding with account sizes up to $80,000
- GoatFundedTrader - A proprietary trading firm registered in Saint Lucia and Hong Kong, offering simulated capital of up to $400,000 for Forex and CFD trading.
Are you ready to step into the world of Forex trading and explore opportunities for significant returns? If so, learning about the best Forex proprietary trading firms in Germany is a great way to begin.
Prop trading firms provide an exceptional opportunity to trade without risking your own capital. These firms fund talented traders and offer resources and support to enhance their success.
This article explains proprietary trading, highlights its pros and cons, reviews the top 5 accounts in Germany, discusses its legitimacy, offers tips for choosing the right account, outlines subscription fees, and answers frequently asked questions about prop trading in Germany.
Best Forex prop firms in Germany
We analyzed seven top proprietary trading firms that welcome clients from Germany, focusing on critical factors like profit-sharing structures and maximum capital allocations. Our evaluation also included an in-depth review of challenge requirements, such as profit targets and the fees imposed by these firms.
Available in Germany | Funding Up To, $ | Profit split up to,Β % | Min Trade Days | Trading period | Max. Leverage | Open an account | |
---|---|---|---|---|---|---|---|
Yes | 4Β 000Β 000 | 95 | 2 | Unlimited | 1:100 | Open an account Your capital is at risk. |
|
Yes | 4Β 000Β 000 | 95 | 2 | Unlimited | 1:100 | Open an account Your capital is at risk.
|
|
Yes | 200Β 000 | 90 | No time limits | Unlimited | 1:30 | Open an account Your capital is at risk.
|
|
Yes | 2Β 500Β 000 | 90 | 3 | Unlimited | 1:100 | Open an account Your capital is at risk.
|
|
Yes | 2Β 000Β 000 | 95 | 3 | Unlimited | 1:100 | Open an account Your capital is at risk.
|
How to choose the best proprietary trading firms in Germany?
We evaluated the challenge conditions for the most cost-effective trading plans offered by leading proprietary trading firms in Germany. Key aspects include:
Evaluation fees. The initial cost to participate in the firm's evaluation process, often ranging from $100 to $500, depending on the account size and firm.
Profit targets. The percentage or monetary amount of profit traders must achieve during the evaluation phase, commonly set between 5% and 10% of the account balance.
Daily loss limits. The maximum allowable loss in a single day, usually expressed as a percentage of the account balance, often around 4% to 5%.
Maximum drawdown limits. The total permissible loss from the initial account balance, typically set between 10% and 12%.
Trading periods. The duration within which traders must meet the profit targets, often spanning 30 to 60 days.
Minimum trading days. The required number of days traders must actively trade during the evaluation, usually between 5 and 10 days.
Leverage. The ratio of borrowed funds to the trader's capital, which varies among firms but commonly ranges from 1:10 to 1:100.
Allowed instruments. The specific financial instruments traders are permitted to trade, such as Forex pairs, commodities, indices, or cryptocurrencies.
Trading style restrictions. Limitations on certain trading methods, including scalping, news trading, or the use of automated trading systems.
Profit sharing. The percentage of profits traders retain after becoming funded, typically between 70% and 90%.
Scaling plans. Opportunities for traders to increase their account size based on consistent performance, allowing for management of larger capital over time.
Is Forex prop trading a legal option in Germany?
Forex proprietary (prop) trading is a viable and legal option in Germany. The country has a well-established legal framework and regulatory bodies that oversee the Forex market. It is essential for prop trading firms to comply with regulations governing capital adequacy, risk management, and transparency. These measures ensure fair practices and the stability of the financial market. Traders are encouraged to choose firms with a strong reputation and compliance with German regulatory standards.
Regulation
German residents can open accounts with foreign proprietary trading firms unless restricted by the firm's jurisdiction. If a partner broker is involved, it must hold a valid license to operate in Germany, such as those issued by CySEC (Cyprus Securities and Exchange Commission) or BaFin (Federal Financial Supervisory Authority, Germany).
Investor protection
To identify blacklisted firms or their associated brokers, check the regulatory websites of BaFin, CySEC, FCA (Financial Conduct Authority), or other European regulators. In cases of rights violations, complaints can be submitted to these regulatory bodies, local law enforcement, or the registration authorities in the firm's jurisdiction.
Taxation
The tax rate applied to trading income in Germany is based on annual declared income, with a maximum rate of 25% plus surcharge for investment-related earnings.
Is prop trading in Germany free?
Proprietary (prop) trading in Germany is not free. It involves various costs that traders should consider before participating.
Evaluation fees. Many prop trading firms require traders to undergo an assessment or challenge to demonstrate their trading skills. This process often comes with a fee, which varies depending on the firm and the account size being pursued.
Subscription fees. Some firms charge ongoing monthly fees for access to their platforms, data feeds, or additional resources. These subscriptions can be mandatory or optional, depending on the firm's structure.
Profit sharing. While prop firms provide capital for trading, they typically retain a portion of the profits generated. The profit split ratio varies among firms, with traders often keeping between 70% to 90% of the profits, and the firm retaining the remainder.
Platform and data fees. Access to advanced trading platforms and real-time market data may incur additional costs, either as part of a subscription or as separate charges. These fees are essential for maintaining the technological infrastructure and data services provided by the firm.
Go for firms that give free or discounted access to powerful tools
If you're new to Forex prop firms in Germany, start by choosing firms that clearly define how traders can scale up their accounts. This means looking for companies that let you handle bigger funds after hitting specific profit goals. Many beginners miss out on this key feature, but itβs crucial because it allows you to grow steadily without taking unnecessary risks upfront. As you prove your skills, youβll be trusted with more capital, which is essential for earning higher returns over time.
Also, check the tools and resources the firm offers. Go for firms that give free or discounted access to powerful tools like market scanners or sentiment trackers. These arenβt just add-ons β theyβre essential for making smart trades and spotting trends early. Having the right tools at your disposal can make a massive difference in how quickly you learn and how well you perform in the long run.
Our methodology
Traders Union applies a rigorous methodology to evaluate brokers 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:
Regulation and safety. Brokers are evaluated based on the level/reputation of licenses and regulations they operate under.
User reviews. Client reviews and feedback are analyzed to determine customer satisfaction levels. Reviews are fact-checked and verified.
Trading instruments. Brokers are evaluated on the range of assets offered, as well as the breadth and depth of available markets.
Fees and commissions. All trading fees and commissions are analyzed comprehensively to determine overall costs for clients.
Trading platforms. Brokers are assessed based on the variety, quality, and features of platforms offered to clients.
Other factors like brand popularity, client support, and educational resources are also evaluated.
Find out more about the unique broker assessment methodology developed by Traders Union specialists.
Conclusion
Selecting the right Forex proprietary trading firm in Germany is essential for building a strong foundation in trading. By carefully evaluating a firm's reputation, regulations, profit-sharing structures, and available tools, you can make an informed decision. While prop trading involves fees, the benefits such as access to trading capital, comprehensive resources, and performance-based rewards can significantly enhance your trading journey. Focus on firms that align with your goals and provide opportunities for growth and support to maximize your potential in the Forex market.
FAQs
Is prop trading legal in Germany?
Yes, prop trading is legal in Germany. However, traders must ensure they work with regulated firms or brokers authorized to operate in Germany by entities like BaFin or CySEC.
How much do subscription fees typically cost?
Subscription fees vary by firm and plan, ranging from a few hundred to over a thousand euros. These fees usually depend on the account size and services provided.
What is the profit-sharing ratio in most prop firms?
Profit-sharing ratios typically range from 70:30 to 90:10, with traders receiving the larger portion. This varies based on the firm and the traderβs performance.
Can beginners participate in prop trading?
Yes, many prop firms cater to beginners by offering educational resources and flexible account options. However, beginners should focus on honing their skills and understanding the firmβs challenge requirements before joining.
Related Articles
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).