Best Prop Firm: Everything You Need to Know
In trading, the biggest challenge for most people isn’t skill—it’s capital. You might be a disciplined trader with a solid strategy, but without enough funds, your growth will always be limited. That’s where a proprietary trading firm (prop firm) comes in. These firms allow traders to access large amounts of trading capital, keep a big share of the profits, and scale their careers without risking personal money. If you’re looking for the best prop firm, this guide will help you pick the right one.
What is a Prop Firm?
A prop firm funds traders with its own capital instead of requiring them to use personal savings. Traders keep a percentage of the profits (usually 70%–90%), while the firm keeps the rest.
For example, if a prop firm gives you a $50,000 account and you earn $5,000 profit, you might keep $4,000 (80%) while the firm keeps $1,000 (20%). This way, you trade bigger amounts with minimal personal risk.
Why Join a Prop Firm?
Joining the best prop firm has many benefits:
- Access to Large Capital – Trade accounts ranging from $10,000 to over $200,000.
- High Profit Split – Keep most of what you earn, often up to 90%.
- Scaling Options – Good firms increase your capital if you’re consistent.
- Low Personal Risk – The only cost is usually an evaluation fee.
- Mentorship & Community – Some firms provide training, guidance, and networking with other traders.
Top 5 Best Prop Firms Worldwide
Here are some of the most trusted and popular prop firms:
1. FTMO
- One of the most respected names in prop trading.
- Offers up to 90% profit split.
- Two-step evaluation process to test trader skills.
- Great choice for forex and indices traders.
2. FundedNext
- Very popular among beginners and professionals.
- Offers one-step and two-step challenges.
- Up to 90% profit payout.
- Global presence with strong support.
3. The5ers
- Focuses on low-risk, consistent trading.
- Provides instant funding without strict evaluation.
- Offers account scaling for long-term traders.
4. Audacity Capital
- Known for combining funding with mentorship.
- Ideal for traders who want professional growth.
- Provides high-capital accounts.
5. SurgeTrader
- Simple one-step evaluation
- Wide variety of markets to trade.
- Popular for traders who dislike complicated rules.
How to Choose the Best Prop Firm for You
Not every trader needs the same type of firm. Here’s how to decide:
- Profit Split – Go for at least 70%–80%.
- Evaluation Rules – If you want fast funding, choose firms with simple or instant funding.
- Trading Style Allowed – Some firms restrict scalping, hedging, or news trading.
- Scaling Options – Check if the firm increases your capital after consistency.
- Transparency – Always read terms to avoid hidden rules.