What is FTMO?
FTMO is the biggest prop trading firm. It was created in 2015 and is located in Prague, Czech Republic. It gives traders a chance to handle significant capital without putting their personal assets at risk.
Markets Available
- Forex
- Commodities
- Indices
- Stocks
- Cryptocurrencies
FTMO chooses traders by way of an evaluation with a defined structure. Those who succeed gain access to accounts with funding. They can trade using the firm’s capital. They also get as much as 90 % of any profits they make.
How FTMO Works
FTMO uses an evaluation in two steps. This is to check a trader’s abilities and how well they handle risk.
Step 1: FTMO Challenge
- Traders have to get to a specific profit amount inside a set time.
- They need to follow rules for risk, like limits on the most that can be lost each day.
Step 2: Verification Phase
- This part is to be sure that trading is consistent. The situation is a little less difficult here.
When both of these steps are done, the trader gets an account from FTMO. That account has funding and lets them trade with real money.
FTMO Trading Challenges & Evaluation Process
The FTMO Challenge represents the initial phase for those who want a funded account. Individuals who trade must
- Achieve the target for profits
- Adhere to the rules for risk management
- Trade a set minimum of days
When successful the traders proceed towards the Verification phase; during this, they must show they can be consistent.
FTMO Account Types & Profit Sharing
FTMO has account options designed to accommodate differing trading methods.
Account Types
- Standard Account – Leverage: 1:100
- Swing Account – Leverage: 1:30 (Positions may be kept open over weekends)
Profit Sharing
- Traders begin with a split of 80 % of the profits
- If successful, can raise the amount they get to 90 %
Is FTMO Legit or a Scam?
FTMO’s Regulatory Status
Financial regulators do not oversee FTMO because it is a proprietary trading entity. This is typical in the prop trading field; these firms utilize their funds, rather than handling funds that belong to clients.
Many respect FTMO; it is seen as a firm that can be trusted.
Is FTMO Legal in My Country?
FTMO allows prop firm traders from across the globe; however, laws at a local level are subject to change. Traders must ensure that prop trading is allowed in their country through consulting legal professionals or those in positions of financial authority.
Common Complaints plus Concerns
Despite positive sentiment, some traders have mentioned worries with respect to
- Difficult evaluation conditions – A few traders find it hard to hit the set targets and loss limits.
- No regulation – Some prefer firms with regulation when trading for a degree of protection.
FTMO is not uniquely affected by these issues; most proprietary trading firms face these things.
FTMO Reviews & Trader Feedback
Positive Reviews: Why Traders Love FTMO
Traders often like
- A process for evaluation that is fair and structured
- A model for profit sharing that is attractive (up to 90 %)
- Performance coaching and trading tools at no cost
Negative Reviews: Common Issues & Complaints
- Some traders have stated
- Challenge conditions that are hard – Many do not pass because rules for trading are firm.
- A lack of regulation – Some traders like firms that are regulated.
FTMO Pros & Cons
Benefits of Trading with FTMO
- No capital from one’s own funds is needed – Trade using funds from FTMO
- Profit-sharing that is ample – Obtain 80 %–90 % of earnings
- Coaching and tools for trading at no cost
Drawbacks & Limitations
- Rules for evaluation that are firm – Goals for profit and limits on loss are tough
- Not regulated – This might worry some traders
FTMO Challenge & Payout System
FTMO’s Profit Split and Scaling Plans
- A split of 80 % of the earnings for all traders
- A split of 90 % of the earnings for consistent performers
- A Plan for Scaling – Traders can get more capital based on how well they perform
Payout Process: How Traders Get Paid
FTMO deals with payouts by
- Transfer by bank
- Skrill
- Digital currencies
Payouts are handled each month, usually in a few work days.
Fast vs. Delayed Payouts: What to Expect
Most traders say payouts are quick and without problems but a few have delays because of checks or issues with banks.
Making an Informed Decision
Who Should Consider FTMO?
FTMO suits
- Traders who are skilled but do not have much capital
- Those who want to do prop trading more than personal trading
- Traders who are disciplined and heed rules for managing risk
Alternatives to FTMO
Other prop firms exist, such as
Each option has its own ways of profit sharing and evaluation.
Final Verdict: Is FTMO Worth It?
FTMO is a prop firm with a good name. The process to get evaluated is not easy but it gives a good amount of capital, splits earnings well as well as has tools for trading at no cost.
If you are skilled enough to pass the challenges from FTMO, it is worth a look.
FAQ’s
FTMO is a proprietary trading firm. It gives traders a chance to manage a funded trading account without risking personal money. To qualify traders must pass a two-step assessment; it includes the FTMO Challenge and Verification stage. These steps check a trader’s profitability, discipline next to skills at managing risk. When traders pass both stages, they get an FTMO Account. They can then trade using the firm’s money. They also keep up to 90 % of any profit. The firm helps traders succeed. It does this by giving them tools for trading, coaching on their performance and advice on how to manage risk.
It isn’t. Financial authorities do not regulate FTMO. The firm operates as a proprietary trading business, so it does not handle client funds or offer brokerage. FTMO trades its own capital. It lets skilled traders use these funds under strict rules. This lack of rules is common for prop firms. FTMO has made a good name for being open and reliable in the field. Traders should still do their own checks plus confirm that prop trading fits with their local financial laws.
FTMO allows access to many financial markets. These include Forex, commodities, indices, stocks along with cryptocurrencies. Traders may use MetaTrader 4, MetaTrader 5 or cTrader to make trades. Traders can hold positions overnight and over weekends but this depends on the account. The flexible market access lets traders build various strategies. At the same time they must follow the risk management rules of the firm.
The most common issue for traders who wish to get an FTMO-funded account is meeting the profit target. They must also follow rules for managing risk. In the FTMO Challenge, traders must make a given amount of profit (for example, 10 %). They must do this within a set time (often 30 days). They must also stay inside daily and total loss limits. Many traders do not pass. They may take too much risk to get to the profit target. They may not manage drawdowns in the right way. The Verification stage is a little easier. It has a smaller profit target (for example, 5 %). The same risk rules are still in place. Traders need to show discipline, patience along with consistency to pass the assessment.
