FTMO Rules Explained (2026)
FTMO runs a 2-phase evaluation with a static (absolute) drawdown of 10% and a 5% daily loss limit. Funded traders keep up to 80% of profits.
Firm Health & Payout Reliability
● OperationalPayout reliability
Excellent
Avg. payout time
1–5 business days
Trustpilot
4.8 / 5.0
Industry gold standard — largest community, longest track record
Positives
- ✓Operating since 2015 — one of the oldest and most established firms
- ✓Consistent payout history with no mass-delay incidents
- ✓Czech Trade Inspection Authority regulated
- ✓Active Discord + Trader community with 100k+ members
- ✓Free retry if you pass within 14 days of failing (FTMO 2.0)
Watch out for
- !FTMO US (Oanda partnership) has slightly different conditions than global
- !Challenge fees are among the highest in the industry
Last verified: 2025-07-01 · Firm conditions change. Always verify payout history, current reviews, and terms before purchasing a challenge.
Practice FTMO's exact rules
Live drawdown tracking and pass/fail enforcement — free.
Key rules
| Drawdown type | Static (absolute) |
| Maximum drawdown | 10% |
| Daily loss limit | 5% |
| Daily reset time | 00:00 ET |
| Consistency rule | None |
| Profit split | Up to 80% |
| Account sizes | $10k, $25k, $50k, $100k, $200k |
| Challenge fees | $155–$1080 |
| Platforms | MT4, MT5, cTrader |
| Asset classes | Forex, Indices, Commodities, Crypto, Stocks |
| News trading | Allowed |
| Weekend holding | Allowed |
| EAs / bots | Allowed |
Evaluation phases
| Phase | Profit target | Min trading days | Time limit |
|---|---|---|---|
| Phase 1 | 10% | 4 | 30 days |
| Phase 2 | 5% | 4 | 60 days |
How FTMO's drawdown actually works
Because FTMO uses a static drawdown, your floor is locked at 90% of your starting balance and never moves. On a $100k account that's a fixed $90,000 floor. The longer you trade profitably, the more breathing room you have — this is the most forgiving drawdown model and a big reason FTMO is popular.
SimTrade's simulator computes this floor live and shows your remaining risk budget in real dollars, so you can practice FTMO's rules before paying a fee.
Things to know
Static drawdown means your floor never moves up — passing becomes easier as profits accumulate. FTMO US operates via Oanda partnership with slightly different conditions.
Frequently asked questions
What is the maximum drawdown on FTMO?
FTMO's maximum drawdown is 10%. FTMO uses a static (absolute) drawdown. Your floor is fixed in dollars when you start and never moves, so every dollar of profit increases your buffer.
Does FTMO have a daily loss limit?
Yes — FTMO caps your loss at 5% of the account in a single day, measured from the day's starting balance. The daily window resets at 00:00 ET. Miscounting the reset boundary fails accounts constantly.
What is the profit target to pass FTMO?
FTMO's evaluation has 2 phases: Phase 1 requires 10% profit, Phase 2 requires 5% profit. A minimum of 4 trading days applies.
What is the profit split on FTMO?
Funded FTMO traders keep up to 80% of the profits they generate.
Pass FTMO on the first try
Practice against FTMO's exact rules with live drawdown tracking — free, no broker required.
Start the Free Simulator