Funded Account

A funded account is the post-evaluation account on which a prop trader earns real, withdrawable profit shares. Whether it is "real money" varies: many evaluation-model firms keep funded accounts simulated and hedge or mirror profitable flow in the live market, while some firms place skilled traders on genuinely live capital — a distinction worth confirming, since it affects how your trades are filled and how robust payouts are. Regardless of the model, the same risk rules from the evaluation typically continue (daily loss limit, overall or trailing drawdown, conduct rules), and a breach can terminate the account and forfeit unpaid profit. The funded stage is also where the profit split, payout schedule, and any scaling plan take effect, turning the audition into an ongoing, rules-bound trading relationship.

In plain English — A funded account is what you receive after passing the evaluation — the account whose profits you actually get paid a share of. At many firms it is still a simulated account, with the firm managing its own real-market exposure behind the scenes; at others it may involve live capital. Either way, you remain bound by drawdown and conduct rules, and breaking them can end the account.

After passing a $100,000 challenge, you trade the funded $100,000 account under the same 5% daily ($5,000) and 10% overall ($10,000) limits, now keeping 80% of profits via payouts.