If you're an aspiring trader looking to kickstart your trading journey, you've probably come across the concept of funded trader evaluation programs. These programs offer you a chance to prove your trading skills and potentially secure funding for your trading endeavors. In this article, we'll delve into the details of one such program, the Funded Trader Standard Challenge, to provide you with a comprehensive guide on what it entails.

Standard Challenge Details

The Standard Challenge is a two-phased evaluation process designed to assess a trader's abilities. What sets this program apart is its flexibility. Traders have unlimited days to complete both phases, providing ample time to showcase their skills. Additionally, traders can opt to use EAs (Expert Advisors) and trade copiers, adding a layer of customization to their evaluation.

In each phase, there are specific rules and objectives that traders must meet to pass the challenge and earn a Funded Account.

What's New as of July 8th, 2023

As of this date, the Standard Challenge underwent significant improvements, benefiting traders who purchase accounts after this milestone. Here are the key changes:

1. Unlimited Simulated Trading Days: Traders now have unlimited time to complete the challenge.
2. Lower Prices: The cost of Standard Simulated Challenge demo accounts with virtual add-on purchases has been reduced.
3. Drawdown Options: Traders can choose between a default simulated max loss of 10% and simulated daily loss of 5% or purchase a Drawdown add-on for a 12% simulated max loss and 6% simulated daily drawdown.
4. EAs Add-On: Traders can purchase an EAs add-on to use Expert Advisors on the demo account.

Pre-July 8th, 2023 Accounts

If you purchased a demo account before July 8th, 2023, your Standard Simulated Challenge demo account will retain its original settings. This means a simulated max drawdown of 12%, a simulated daily drawdown of 6%, and 35 days to complete Phase 1 and 60 days to complete Phase 2.

Rules for the TFT Standard Simulated Challenge

Challenge Time Limit

There is no time limit on completing the challenge. Traders have unlimited simulated trading days to meet the objectives.

Minimum Trading Days

To pass the challenge, traders must complete a minimum of 3 trading days. However, there is no time limit for achieving the simulated profit target for either phase.

Free Retries

With no time limits, there are no free retries for Phase 1 or Phase 2 Standard Challenge demo accounts.

Profit Target

• Phase 1: 10% simulated profit target
• Phase 2: 5% simulated profit target

Simulated Drawdown

No Virtual Add-On Purchased

If you haven't purchased the simulated Drawdown add-on, the following drawdown limits apply:

• Maximum simulated daily drawdown: 5% simulated equity
• Maximum total equity simulated drawdown: 10% from the starting simulated balance

Virtual Add-On Purchased

For those who purchased the simulated Drawdown add-on, the limits are as follows:

• Maximum simulated daily drawdown: 6% simulated equity
• Maximum total equity drawdown: 12% from the starting simulated balance

Scaling Plan and Enhanced Simulated Profit Split

The Standard Challenge offers a scaling plan that allows funded traders to increase their demo account size based on consistent performance. Here's how it works:

• Traders can add 25% of their initial demo account balance to the demo balance of their funded account.

Review Process

Simulated funded accounts from the Standard Challenge are reviewed every 3 months. To be eligible for an account size increase, a trader must meet one of the following criteria:

1. An average return of 6% over the 3-month period
2. A 2% return each month during the 3-month period

Daily Drawdown and Maximum Drawdown Scaling

When scaling takes place by 25%, the simulated daily and maximum drawdowns also scale by 25%. This adjustment ensures that risk is managed in line with the increased account size.

Maximum Simulated Funded Account Balance Potential

Traders can make two withdrawals during a 3-month period. The scaling plan allows traders to scale their demo account virtual balances up to $1.5M virtual currency.

Increased Simulated Profit Split

Traders who qualify for the scaling plan are eligible for a 90% profit split, offering significant earning potential.

Simulated Maximum Daily Drawdown

The simulated max daily drawdown is a critical aspect of the Standard Challenge. Here's what you need to know:

• Simulated Max Daily Drawdown: 5% (6% with simulated Drawdown Add-On)
• It's calculated based on the simulated balance or equity, whichever is greater, at 5 pm EST each day.
• The drawdown includes simulated commissions and simulated swap fees.
• Breaching the simulated max daily drawdown results in the violation of the demo account.

Reset Time

The simulated max daily drawdown resets daily at 5:00 PM EST. Traders are advised not to execute trades between 4:57 PM - 5:03 PM EST when the drawdown is being reset.

Standard Challenge Add-Ons

Enhance your Standard Simulated Challenge experience with these add-ons:

Simulated Drawdown Add-On

By purchasing the simulated Drawdown add-on, you gain the following benefits:

• Maximum simulated daily drawdown: 6% simulated equity
• Maximum total equity drawdown: 12% from the starting simulated balance

EAs/Trade Copiers Enabled Add-On

With this add-on, you can use Expert Advisors and Trade Copiers on your demo account. Please note that certain EAs and strategies are not allowed. Refer to the provided article for more details on prohibited strategies.

If you choose not to purchase this add-on, you won't be able to use EAs on the demo account(s) you've acquired.

Evaluation Process Duration

The evaluation process for the Simulated Standard Challenge is divided into two phases, and traders have unlimited simulated trading days to complete them. However, if you purchased a Simulated Standard Challenge account before July 8th, 2023, you have 35 days after placing your first simulated trade for Phase 1 and 60 days after placing your first simulated trade for Phase 2.

Regular vs. Swing Account Types

To cater to different trading preferences, TFT offers two account types for Standard and Rapid Challenges: Regular and Swing. These account types have distinct characteristics, including leverage and news trading allowances.

Leverage

Here's a comparison of leverage for Regular and Swing accounts:

Regular Account

• Forex: 1:200 (Challenge), 1:100 (Simulated Funded)
• Gold & Commodities: 1:40 (Challenge), 1:40 (Simulated Funded)
• Indices: 1:20 (Challenge), 1:20 (Simulated Funded)
• Crypto: 1:2 (Challenge), 1:1 (Simulated Funded)

Swing Account

• Forex: 1:60 (Challenge), 1:30 (Simulated Funded)
• Gold & Commodities: 1:20 (Challenge), 1:10 (Simulated Funded)
• Indices: 1:5 (Challenge), 1:5 (Simulated Funded)
• Crypto: 1:1 (Challenge), 1:1 (Simulated Funded)

News Trading

News trading is allowed in both Regular and Swing Standard Challenge accounts during Phase I and Phase II. However, in the Simulated Funded phase, only Swing Standard Challenge accounts are permitted to engage in news trading.

Lot Size Limits

There are no lot size limits during any phase of TFT programs. The broker does not impose additional limits on top of what they allow.

Expert Advisors (EAs) Rules

TFT has specific rules regarding the use of Expert Advisors (EAs) on demo accounts:

• EAs are only allowed on both regular and swing demo accounts if you purchase the EAs add-on.
• If you don't purchase a Standard Challenge demo account with the EAs add-on, you cannot use EAs on the demo account(s) you've acquired.

Benefits of the Standard Challenge

The Standard Challenge offers several benefits to traders, including:

• Unlimited simulated trading days.
• The opportunity to start with a $400K demo account, the largest in the industry.
• Additional Drawdown Add-on for 6% daily and 12% virtual max loss.
• EAs and Trade Copiers Add-on for a seamless trading experience.

Conclusion

The Funded Trader Standard Challenge is a unique opportunity for aspiring traders to prove their skills and potentially secure funding for their trading journey. With its flexibility, customizable add-ons, and attractive profit-splitting options, this program stands out in the world of funded trader evaluations.

If you're considering embarking on this trading challenge, remember that success depends on your trading prowess and discipline. So, go ahead, take the challenge, and let your trading journey begin!