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Drawdowns & Loss Limits - How They Work

Updated over a week ago

Drawdowns and loss limits protect your account. They vary by plan (1-Step, 2-Step, Instant Funding) and include both daily and total drawdowns, sometimes with “lock” or “reset” rules when payouts are requested.


⚡ TL;DR

Every plan has a daily loss limit + total drawdown. Some plans use trailing drawdown with lock at payout (1-Step Standard, Instant). Others use static drawdown. Plus plans reset drawdown on payout.


📊 Types of Drawdown

Type

Meaning

Which Plans Use It

Static drawdown

Your total loss limit stays fixed once the challenge/funded account starts.

2-Step Standard, 2-Step Plus

Trailing drawdown

Drawdown moves up as your equity grows; stops “trailing” when equity returns to starting balance.

1-Step Standard, Plus, Instant Funding

Lock at Payout

When you request a payout, the drawdown is fixed at the starting balance, even if your current equity is higher.

1-Step Standard, Instant Funding

Reset on Payout

Drawdown behavior returns to baseline after you request payout (often applies to Plus plans).

1-Step Plus


🧮 Daily Loss Limit

  • Each plan has a maximum daily loss (e.g. 3% or 5%)

  • Breaching daily loss = hard breach (account closes)


🔒 Lock & Reset Rules

  • Some plans lock drawdown permanently at the initial balance when payout is requested.

  • Others reset the drawdown after payout, meaning the account equity and drawdown baseline adjust.

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