The world of Prop Trading is changing
Prop trading, once considered the preferred gateway for ambitious traders, is undergoing a profound transformation. The closure of many prop firms and growing concerns about their stability have led many traders to ask: what are the safest and most profitable alternatives for trading with significant capital?
The Crisis of Traditional Prop Trading
The traditional model of prop firms, based on competitive challenges and heavy pressure on traders, is showing its limits. Several factors have contributed to this crisis:
- Increased competition: The proliferation of prop firms has saturated the market, making it difficult for individual firms to stand out.
- Tighter regulation: Regulators have introduced stricter rules to protect investors, increasing the operating costs of prop firms.
- Market instability: Volatility in financial markets has made it more difficult for traders to achieve consistent results, putting pressure on the profitability of prop firms.
- Conflicts of interest: The challenge model, in which traders pay a fee to access capital, has created a conflict of interest between prop firms and the traders themselves.
Alternatives to Traditional Prop Trading: Leveraged Accounts.
A new generation of trading models is emerging to meet the needs of traders: fully funded accounts.
How do they work?
- No initial challenge: Unlike traditional prop firms, it is not necessary to pass a challenge to access capital.
- Reduced initial deposit: An initial deposit is required, but generally lower than challenge fees .
- Profit and lossgoals: Traders must achieve specific profit goals within a specified period, but with clearly defined loss limits .
- Profitsharing: Profits generated are divided between the trader and the company providing the capital.
Benefits of fully funded accounts:
- Flexibility: Greater operational freedom than the rigid rules of traditional prop firms.
- Limitedrisk: Maximum loss is predefined, protecting the trader ‘s capital.
- Scalability: The ability to increase the available capital based on performance.
- No conflict of interest: The interests of the trader and the company are aligned.
Investetica: The Ideal Solution for Ambitious Traders
Investetica offers an innovative solution for traders who wish to access significant capital without facing the challenges of traditional prop firms. With fully funded accounts with drawdown guarantee, traders can start trading in the markets with limited risk and high earning potential .
The advantages of choosing Investetica:
- No challenge: Access the capital immediately.
- Drawdownguarantee: Protection of your capital in case of losses.
- Winningstrategy: Benefit from a proven trading strategy.
- Personalizedsupport: A team of experts at your disposal for any questions.
Watch the exclusive video with the only method that allows you to get funds to trade!
With our method, traders do not have to pass performance tests to obtain capital, only a minimum deposit into their personal trading account is required. Each month, traders must reach a set profit goal. The maximum allowable loss is generally limited to a percentage of total capital, protecting both the trader and the company. The profits generated are then divided between the trader and the trading company according to a predetermined percentage.
Let’s take a practical example to better understand how the account works.
Imagine a trader who deposits $2,000:
First phase:
- Funding received: $5,000
- Target profit: 5% ($1,000)
- Minimum duration: 30 days
- Maximum loss: 10% ($600)
Profit split : 0%
(broker keeps all profits)
Second phase:
- Funding received: $20,000
- Target profit: 5% ($1,000)
- Minimum duration: 60 days
- Maximum loss: 10% ($2,000)
Profit Split: 40%/60%
(trader 40%, broker 60%)
Third phase:
- Funding received: $100,000
- Target profit: 5% ($5,000)
- Minimum duration: 60 days
- Maximum loss: 10% ($10,000)
Profit Split: 50%/50%
(trader 50%, broker 50%)
Conclusion
The world of prop trading is changing rapidly. Alternatives to traditional models, such as fully funded accounts , offer traders more opportunities and greater flexibility. Choose the solution that best suits your needs and start building your career as a successful trader.
Watch the exclusive video with the only method that allows you to get funds to trade!
