The Funded Trader vs E8 Funding

Trading in financial markets can be a lucrative endeavor, but it requires a substantial amount of capital to get started. Many aspiring traders face the challenge of limited funds, which can hinder their ability to participate in the markets effectively. To address this issue, various funded trading programs have emerged, offering traders the opportunity to access capital and trade with larger sums of money. In this article, we will compare two prominent funded trading programs: The Funded Trader and E8 Funding. We will delve into the key features, requirements, benefits, and drawbacks of each program to help traders make an informed decision about which option suits them best.

The Funded Trader vs E8 Funding
The Funded Trader vs E8 Funding

The Funded Trader

Overview

The Funded Trader is a proprietary firm that allows skilled traders to trade various financial instruments with a funded account. The prop firm was founded by Angelo Ciaramello, Blake Olson and Carlos Rico Jr. in January 3rd, 2022. The Funded Trader aims to support traders by helping them prove their trading skills and achieve consistent profitability without risking their own capital.

The Funded Trader
The Funded Trader

Key Features

  • Trading Evaluation: To qualify for a funded account, traders must undergo a comprehensive evaluation process. This typically involves demonstrating their trading abilities by adhering to specific rules and meeting predefined profit targets. The evaluation may vary based on the account size traders are targeting.
  • Multiple Account Sizes: The Funded Trader offers different account sizes, allowing traders to choose the level of capital they are comfortable trading with. Account sizes may range from a few thousand dollars to several hundred thousand dollars.
  • Profit Sharing: Once a trader successfully meets the evaluation criteria and starts trading the funded account, they can keep a portion of the profits they generate. The profit-sharing percentage is pre-determined by the firm and may increase as traders move up to higher account levels.
  • Risk Management: The Funded Trader emphasizes risk management, and traders are typically required to maintain specific drawdown limits. This approach helps protect both the trader and the firm from significant losses.

Requirements

  • Trading Experience: The Funded Trader welcomes traders of all skill levels to participate in the evaluation process. The program is suitable for beginners as well as experienced traders.
  • Trading Strategy: Traders must follow specific trading rules and strategies during the evaluation phase. These rules are designed to assess traders’ abilities to manage risk and execute profitable trades.
  • Subscription Fee: The Funded Trader does not charge any subscription or evaluation fee to join the program. The program is free to enter and access the funded account.

Benefits

  • Access to Capital: One of the most significant advantages of The Funded Trader is the access to capital that it provides. Traders can trade with larger sums of money, which can potentially lead to higher profits.
  • No Personal Risk: Since traders are trading with the program’s capital, there is no personal financial risk involved during the evaluation phase.
  • Profit Sharing: Successful traders can earn a portion of the profits they generate, allowing them to benefit financially from their trading skills.

Drawbacks

  • Evaluation Process: The evaluation process can be rigorous, and not all traders may successfully meet the profit targets and trading criteria.
  • Limited Freedom: Traders must adhere to specific trading rules and risk management guidelines, which may limit their trading flexibility.

E8 Funding

Overview

E8 Funding is another well-known funded trading program that aims to provide traders with the opportunity to trade with a funded account. The E8 Funding program is designed to support both experienced and novice traders who want to access more significant trading capital.

E8 Funding
E8 Funding

Key Features

  • Account Options: E8 Funding offers different account options, each with varying levels of capital and risk parameters. Traders can choose an account that aligns with their trading style and risk tolerance. The maximum initial deposit is $300,000, which can be scaled up to $1 million or more based on performance.
  • No Evaluation Process: E8 Funding does not require traders to undergo an evaluation phase. Instead, traders can directly purchase a funded account based on their chosen account size. However, traders still need to verify their identity and sign a trader agreement before they can access the funded account.
  • Flexible Trading: Traders are given more flexibility in terms of trading strategies and risk management. While there may be some general guidelines, traders have more control over their trading decisions. However, traders still need to follow some account rules, such as a 14% drawdown limit, a minimum of 10 trades per month, and a maximum of 5% risk per trade.
  • Profit Withdrawal: E8 Funding allows traders to withdraw a portion of their profits regularly, giving them access to their earnings on a consistent basis.

Requirements

  • Account Purchase: Traders must purchase a funded account by paying a one-time, non-recurring fee. The fee varies depending on the chosen account size.
  • Risk Management: Traders are expected to manage risk effectively and adhere to specific drawdown limits. The drawdown limit is dynamic, meaning that it changes based on the account balance and performance.

Benefits

  • Immediate Access: Traders can start trading with a funded account right away after purchasing the chosen account.
  • Flexibility: E8 Funding provides traders with more freedom to trade with their preferred strategies and risk management techniques.
  • Regular Profit Withdrawal: Traders can withdraw a portion of their profits at regular intervals, which can be beneficial for managing personal finances.

Drawbacks

  • Upfront Cost: The primary drawback of E8 Funding is the upfront cost of purchasing a funded account. The fee can vary based on the account size, and it may be a barrier for some traders with limited funds.
  • Personal Risk: Since traders are using their own money to purchase the funded account, there is personal financial risk involved.

Conclusion

Both The Funded Trader and E8 Funding offer attractive options for traders looking to access more significant capital to trade in financial markets. The choice between the two programs depends on individual preferences, experience level, and financial situation.

The Funded Trader provides an evaluation process that allows traders to prove their skills and access capital without personal financial risk. On the other hand, E8 Funding offers more flexibility and immediate access to a funded account without an evaluation process, but traders need to consider the upfront cost and personal risk involved.


Ultimately, traders should carefully evaluate the features, requirements, benefits, and drawbacks of each program to determine which option aligns better with their trading goals and risk tolerance. Regardless of the chosen path, funded trading programs can be a valuable stepping stone for traders to grow their accounts and gain experience in the financial markets.

Free Forex Robot