Proptrading companies - List of the best offers 2024

Proptrading companies is an offer for traders who want to spread their wings and start achieving regular, above-average profits, without involving their own capital, with controlled, low risk. If you generate profits in the investment markets, have your own system or would like to become a full-time trader and at the same time gain access to large funds without risking your own money, then perhaps it is Owner Trading (Proptrading) is what you are looking for.

What is Proprietary Trading (Proptrading)

It is a model of cooperation between a financial institution and a trader, where the company provides capital for investment, and the trader provides his investment skills. The profit generated is divided according to different proportions between both parties. Most often, proptrading companies also deal with the issue of risk control on the investment account and provide a number of solutions in the form of access to tools supporting trading, ensuring favorable trading conditions or high-quality education.

Trader evaluation

Recruitment usually has a completely different character than the one to which we are accustomed to in the traditional labor market. The greatest asset of a trader is his ability to trade on the market, which we cannot verify during a typical job interview. Therefore, the most common method of evaluation is participation in the so-called investment challenge (for a fee, where the cost is often reimbursed after it has been credited). Challenges of this type are about demonstrating on a demo account that we can make money in the market. Here and now. The condition is to generate an appropriate profit in a certain period of time while controlling the risk (max. drawdown). If we manage to complete the challenge, thus proving our skills, in the next stage we switch to a real account and start earning real money.

How much can you earn?

The distribution of profit depends on the company and is usually equal to from 50% to 90%, where the greater part is allocated to the trader. How much capital will we get at the beginning? It also depends on the chosen partner. However, it is natural that no one will offer us hundreds of thousands of dollars at the very beginning of cooperation. Trust is built gradually. Therefore, we usually start with a few thousand dollars, and with the progress on the account, our capital is increased. We can find offers that provide financing up to the amount several million dollars.

Proptrading companies - Comparison of offers

There are many proptrading companies on the market that offer traders various terms of cooperation. One of the most popular are FTMO, The Trading Pit, and The 5%ers, the most important elements of which are presented in the table below.

PROPTRADING COMPANIES - LIST

List of offers 2024

Country of origin	Liechtenstein	Czech	Israel
Foundation year	2022	2014	2016
Available markets	Futures, Forex (coming soon Stocks, Options, Crypto)	Forex	Forex
Platforms	MT4, MT5, ATAS, Quantower, Rithmic	MT4, MT5, cTrader	MT4
Additional tools	YES	NEVER	YES
Profit sharing	50-80%	80-90%	50%
Capital limit	up to EUR 5 million	up to 200 thousand USD	d0 USD 4 million
Financial leverage	1:30 - 1:200	1:100	1:10 - 1:30
Type of recruitment	Investment challenge	Investment challenge	Investment Challenge / Bootcamp
Additional possibilities	asset management license, possibility to open your own hedge fund	Educational course	Educational course
website	www.thetradingpit.com	www.ftmo.com	www.the5ers.com
A discount code	-10% FOREXCLUB10	-	-
	REVIEW	-	-
	CHECK	CHECK	CHECK

*Due to the very extensive conditions of some offers, we have included only their most important elements. Detailed information can be found on the websites of proptrading companies.

The Trading Pit

The Trading Pit (TTP) is a relatively new company on the market. One of them is registration in the Principality of Liechtenstein and possession of an asset management license. This means that cooperation with TTP is not limited to partnership profit sharing, but ultimately even allows you to open your own hedge fund and move to a completely different level.

At the moment, the company provides access to the Futures and Forex markets, however, in the future, the offer will also be expanded to include the cryptocurrency market, shares and options, which is very rare. He is behind the whole project Illimar Mattus, co-founder of an international group Tickmill, which with its many years of experience sets the track for the development of TTP.

FTMO

FTMO is one of the most recognizable proptrading companies. Thanks to intensive marketing campaigns and a tempting offer, it attracts the attention of many traders. The company is registered in the Czech Republic and has been operating since 2014. It offers up to 90% share in profits, but at the same time provides access to quite modest capital.

The 5%ers

The name referring to the myth of only 5% of traders earning on the market clearly shows who they are looking for The 5%ers. do you earn? It's you they want. The Israeli company offers a "modest" 50% share in profits, but provides financing of up to $4 million. An important difference is the possibility of establishing cooperation both after completing the investment challenge and using the so-called bootcamp.

Proptrading and security

1. Licenses and permits. Proptrading is not regulated, and proptrading companies generally do not need to have permits to conduct this type of activity. After all, trading takes place on the account of a given company using its capital, and the trader is an element of this organization. However, a trustworthy country of registration is certainly a plus factor. Before starting cooperation with a given company, be sure to read the contract and check whether the selected proptrading company operates legally and does not violate any local regulations.
2. Users' opinions. A trusted partner in cooperation is the basis. Over the years, there have been abuses by proptrading companies that refused to finance traders for trivial reasons. Check the opinions of other traders before you start cooperation!
3. Profit payments. Regular and efficient payouts of earned profits are extremely important. After all, we trade the market primarily for money. Check the withdrawal conditions at the very beginning.
4. Support and service. Although we face the market ourselves, fate writes various scenarios. Platform issue? Transaction Complaint? Doubts about the broker's activities? Remember that trading takes place on the proptrading company's account, not yours, so efficient cooperation with effective customer service can be extremely useful.

Proptrading companies - Advantages and disadvantages

Trading on your own account or with a proptrading company? We must be aware that there are no perfect solutions and each of them has significant advantages and disadvantages. If we decide to trade on our own, we risk all our own capital, the amount of which additionally limits us. However, we keep the profit in full and trade completely freely. If we decide to cooperate with a proptrading company, we lose this flexibility - at the beginning we have to meet certain criteria, take the risk of taking part in the challenge, and then watch over capital management - but on the other hand, shouldn't we have iron rules regardless of this? The biggest advantage, however, is access to large financial resources, the loss of which we do not have to worry about.

Proptrading - advantages and disadvantages