- Three funding programs with up to 1:400 leverage
- Exceptional 4.3/5 Trustpilot; 95% profit split
- Unlimited free evaluation and redeposit for negative balances
- Overnight, weekend, and news trading; EA's/bots allowed
- Scaling option up to $3,200,000 (aggressive instant funding)
- Diverse trading tools: forex, commodities, indices, and cryptocurrencies.
TradingFunds
- Impressive Trustpilot rating of 4.3/5.
- Single-step evaluation with 1:10 to 1:100 leverage.
- Profit sharing of 80% to 90%.
- Flexible trading: overnight, weekends, and during news events.
- Unrestricted trading strategy.
Cons ❌
Finotive Funding
- 25% reduced profit split if RTP is violated after being funded
- No free trial
TradingFunds
- Elevated evaluation account fees
- Trailing Drawdown
- Starting leverage at a low of 1:10
- 2% Maximum stop-loss for each instrument
Rules 📋
Finotive Funding
Maximum Daily Loss, Maximum Loss, No Gambling Mentality, Profit Target, Third Party Copy Trading Risk
TradingFunds
Maximum Trailing Drawdown, Profit Target, Stop Loss Required, Third Party Copy Trading Risk, Third Party EA Risk
Finotive Funding Versus TradingFunds: A Comparative Review
When it comes to choosing a proprietary trading firm, retail traders have a plethora of options. Finotive Funding and TradingFunds are two such firms that offer diverse opportunities to their clients. This review aims to dissect the pros and cons, rules, deposit and withdrawal options, account sizes and currencies, tradeable instruments, and their respective histories to help you make an informed decision.
Range of Funding Programs and Leverage
Finotive Funding seems to cater to the aggressive trader with their offering of three funding programs and exceptionally high leverage of up to 1:400. This provides traders with ample opportunity to enter large positions with a relatively small amount of capital. Meanwhile, TradingFunds adopts a more conservative approach to leverage with a range of 1:10 to 1:100. While this may be limiting for some, it can also be seen as a risk mitigator, particularly for less experienced traders.
Profit Split and Evaluation
Profitability is a key factor for proprietary traders. Finotive Funding's 95% profit split is on the higher end of the scale, which coupled with unlimited free evaluation and redeposit for negative balances, becomes quite attractive. However, it's important to note that this profit split can drop to 75% if certain risk parameters are violated. TradingFunds, on the other hand, offers a more standardized profit share ranging between 80%-90%, which, despite being lower, comes with the reassurance of single-step evaluation.
Trading Flexibility and Strategy
Both Finotive Funding and TradingFunds permit overnight, weekend, and news trading, as well as the use of EAs/bots, signaling their adaptability to various trading styles. TradingFunds goes a step further by not restricting the trading strategy at all, which might be more appealing to traders looking for full autonomy in their approach.
Account Offerings and Trading Tools
When it comes to tradeable instruments, both firms provide a variety to choose from, including forex, commodities, indices, and cryptocurrencies. However, Finotive Funding stands out with its scaling option that allows traders to handle accounts up to $3,200,000 through aggressive instant funding, whereas TradingFunds seems more modest but does not clearly state account size limits.
User Experience and Accessibility
A factor that's essential for new users is how easy it is to start trading. Both firms support deposits via credit/debit cards and crypto, but TradingFunds further includes PayPal, which is a significant facilitation for many traders. Withdrawal methods are similar, with an additional PayPal option for TradingFunds.
Regulatory Constraints and Rule Comparison
In terms of trading constraints, both firms have established rules that promote responsible trading, such as maximum drawdown and profit targets. However, TradingFunds imposes a trailing drawdown and a stringent 2% maximum stop-loss per instrument, which can be perceived as restrictive by those who employ wider stop-loss strategies.
Account Currencies and Global Accessibility
Finotive Funding accommodates a broader global audience by providing account options in EUR, GBP, and USD. TradingFunds, launching in February 2023, currently offers account currencies in USD only. This may limit its appeal to traders operating with other base currencies.
Reputation and Trust
Both firms boast an impressive Trustpilot rating of 4.3/5, which speaks volumes about their customer satisfaction and trust. Although Finotive Funding has been around since April 2021, giving it a more established presence in the market. TradingFunds, as a newcomer, will need to build its reputation over time.
Conclusion: Factors for Potential Users to Consider
In conclusion, both Finotive Funding and TradingFunds offer distinctive advantages for different trading styles. Finotive Funding is suited for those seeking high leverage and a significant profit split, albeit with strict adherence to risk parameters. TradingFunds caters to traders favoring a simpler evaluation process and more control over their strategies, even if it means accepting lower leverage and profit shares. Prospective users must weigh these differences against their individual trading needs and risk appetites to select the most suitable prop trading firm.
