(Newswire.net — June 7, 2023) — Funded trading refers to a program or arrangement where traders are provided with capital by a third party, typically a proprietary trading firm, to trade in the financial markets. These programs are designed to give traders the opportunity to trade with larger capital than they might have access to on their own.
Novice traders are interested in how to choose a prop firm. One of the selection criteria is a prop firm’s pricing. Traders Union experts answered the question “What is the cheapest prop firm?”
What are funded trader costs?
Typically traders pay a small monthly fee for access to trading accounts. It’s important to carefully review and understand the costs and fees associated with a funded trading program before participating. Each program can have its own fee structure and requirements, so it’s essential to read and comprehend the terms and conditions provided by the funding provider. Additionally, traders should consider the costs in relation to the potential benefits and evaluate whether the program aligns with their trading goals and financial resources.
When traders receive profit they keep up to 90% of it. The most popular prop firms include Topstep with a fee of $495 for a three-month membership and $990 fee for a six-month membership. Many other prop trading firms have similar prices.
Top 3 cheapest funded trading accounts
The costs associated with funded trading programs can vary depending on the specific program and funding provider. TU experts examined the top three funded trading accounts with the lowest costs.
-
SurgeTrader
SurgeTrader is a proprietary trading program. Proprietary trading involves trading financial instruments using the firm’s own capital, as opposed to trading with clients’ funds. SurgeTrader provides traders with the opportunity to trade with the firm’s capital, often with the goal of earning a share of the profits generated.
SurgeTrader has only one evaluation phase, unlike a lot of other prop firms. That means traders can start working with the platform much faster. The minimum fee for a membership is $250 minimum and the maximum is $6500.
-
FTMO
FTMO is a well-known proprietary trading firm that offers funding to traders and provides them with the opportunity to trade with the firm’s capital. The company’s goal is to help talented traders access additional funding and grow their trading careers.
FTMO charges a one-time evaluation fee to participate in their program. This fee covers the evaluation phase and the costs associated with reviewing and assessing traders’ performance. Once a trader successfully completes the evaluation and receives a funded account, there are no additional fees or subscription charges.
-
Elite Trader Funding
Elite Trader Funding is a well-known prop trading firm that offers its users to raise their profits using the company’s funds. Traders can register for Elite Trader Funding Fast Track evaluations, obtaining up to $6,500 in drawdown for simply $150. Once a trader is eligible for operational funding, they will also get $160 in free data. Fees in Elite Trader Funding range from $45 to $655.
Is there a free prop firm account?
There is such an option but there can be better choices. Prop firms with good reputation always require a small fee for using their trading accounts. In conclusion, prop trading is a possibility for traders to raise their profits using companies’ funded accounts. Each company charges a small fee for using their account.
There might be free prop trading accounts but those firms can be not so reputable. The best three prop trading websites are Topstep, FTMO and Elite Trader Funding. The cheapest is Elite Trader Funding with a minimum fee of $45. The company with the fastest evaluation process is SurgeTrader. There is only one evaluation phase.
On the Traders Union website you can also find additional information about various prop trading companies and check the reviews. No fake reviews are posted on the website. Moreover, TU experts teach how to distinguish fake reviews from real ones.