E8 Funding vs The Trading Pit

Overview of E8 Funding

E8 Funding has positioned itself as a commendable proprietary firm, boasting a Trustpilot rating of 4.7/5. The firm offers a tempting array of features, including account sizes that escalate up to $1,000,000, paired with an attractive 80% profit share and bi-weekly payouts, which is a boon for traders looking for frequent liquidity. Another salient feature worth mentioning is its tolerance for overnight and weekend positions as well as trading during news events, highlighting the firm's flexibility to cater to various trading styles. With leverage capped at 1:100 and balance-based drawdowns, traders have ample breathing room for their strategies. Furthermore, E8 Funding does not impose minimum trading days, which adds to its allure.

Evaluating The Trading Pit

The Trading Pit emerges as a strong competitor, shining with an even higher Trustpilot rating of 4.8/5. One of the standout offerings from this prop firm is the opportunity to scale up to a staggering $5,000,000 with an up to 80% profit share, exhibiting a clear path toward significant earning potential for successful traders. The firm's minimal trading requirement of just three days may attract those who prefer not to be bound by stringent activity quotas. Like E8 Funding, this firm also allows flexible trading conditions such as holding positions overnight, during weekends, and amidst news releases. Moreover, the range of tradeable instruments is comprehensive, including the unique addition of stocks and bonds to its portfolio.

Comparative Drawbacks

While both firms exhibit promising attributes, there are some drawbacks to each. E8 Funding is marred by reports of slippage issues, and traders may find the high commission costs to be a deterrent. Additionally, the firm enforces a strict 5% maximum daily drawdown limit, which can be constrictive for aggressive trading tactics. On the other hand, The Trading Pit starts its traders with a relatively lower initial profit share of 50% or 60%, potentially making it less captivating in the beginning. Post-funding, the implementation of a trailing drawdown can be perceived as restrictive, as it may penalize successful traders by reducing their leeway for drawdown as they profit.

Considerations for Trading Rules and Financial Transactions

Both firms maintain standard prop trading rules such as maximum daily loss, maximum loss, and profit targets. E8 Funding diversifies deposit and withdrawal methods, accepting credit/debit cards and crypto, with Deel as the withdrawal method. This could be seen as more accessible though less traditional than The Trading Pit's bank wire transfer withdrawal method.

Account Offerings and Tradeable Instruments

A range of account sizes is crucial for traders with differing risk appetites. E8 Funding does well to cater to this by offering varied account sizes from "$25,000 USD" to "$250,000 USD" and beyond. The Trading Pit has a more unified approach but lacks specifics in this context. In terms of tradeable instruments, both firms offer an impressive array that should satisfy most traders. It is worth noting, however, that The Trading Pit also includes stocks and bonds, which could be a determining factor for those who prefer or excel in these markets.

Incorporeal and Currency Flexibility

The youth of both firms can be seen as a double-edged sword. E8 Funding's inception in November 2021 and The Trading Pit's in February 2022 show they're new players in the field, which can imply innovation but also a relatively untested nature. When it comes to account currencies, E8 Funding provides options for EUR, GBP, and USD, allowing a degree of flexibility that The Trading Pit currently limits with its sole focus on USD.

Final Thoughts

In sum, both E8 Funding and The Trading Pit put forth compelling arguments for traders seeking to partner with a proprietary trading firm. The ideal choice hinges on individual preferences, trading style, and willingness to accommodate certain restrictions. E8 Funding shines with its lack of minimal trade days and flexible leverage, whereas The Trading Pit stands out with its higher scaling potential and broad instrument offerings, including stocks and bonds. Traders are advised to weigh the pros and cons carefully to align their selection closely with their trading objectives and risk tolerance.