FX2 Funding for Traders – Review

by Dec 17, 2022Forex Trading for Beginners

FX2 funding is a proprietary trading platform for skilled and undercapitalized traders. That means you prove that you have trading skills and you get money to trade and make money and that be if you are just a beginner in Forex trading.

This article will show you what you can expect with FX2 funding and which benefits it has over other proprietary trading programs.

Read more: How to Register FX2 Account

FX2 Funding - Traders First Banner - Copy

Evaluation Process

Evaluation process has fours steps:

  1. select one of available programs
  2. trade when you want
  3. Make 10% of profit without breaking any of three rules
  4. get approval for live account

You can see that there are simple and clear four steps. What is good is that the trading can be done at any time and when you want.

And also there are no hard and complex rules you need to follow. Three rules are clear enough and simple to understand for any trader.

Let’s go through each of these four rules.

Select One Account Size

Among five available account sizes:

  • $10,000
  • $25,000
  • $50,000
  • $100,000
  • $200,000

you need to select one that you want to use. Each account size gives you a certain amount on your trading account.

The thing is that with a $10,000 account you will trade smaller amounts. It is good to trade with smaller accounts at the beginning, but if you take psychological affect in trading you will want to trade larger accounts.

$10,000 account and profits on that small account sometimes will not be interesting and you could increase the risk in each trade. Increasing the risk you could lose more than you want.

$25,000 and larger accounts require more money to start where $25,000($315) is more than double compared to the $10,000($125) account.

But, if you use $100,000($900) you will make $1,000 on each trade if you set your goal to 1% of profit. If you increase the profit to 3% per trade that will be $3,000 which is quite nice to see.

The best is to use what you can afford and where you feel comfortable to trade.

Trade When You Want

One of the best rules FX2 funding is offering is the trade time condition. There is no condition that you need to fulfill the profit goal in 10 days or any other time frame.

FX2 funding gives you as much time as you need just by following trading rules.

This offer is better than other proprietary platforms because you do not have pressure to reach a trading goal in a certain period.

Why is this important?

If you are day trader then you could probably reach 10% gain in a few days or in a day.

But, swing traders that are trading for weeks or months the time rule makes trading on proprietary platforms impossible. If they open a trade that will last a month that means they will break the rule of reaching the goal in 10 days. This can be in any other time period that is set by these companies.

So, FX2 funding has an advantage over other platforms regarding trading time. FX2 funding has no rule about trading time periods. You trade when you want.

10% Profit Gain

So, having an account and having time as much as you need you need to reach 10% gain on your trading account.

And, the only condition is not to break trading rules.

10% gain is possible in certain periods with proper risk management. And you have as much time as you need.

The goal is almost the same as with other companies so FX2 funding is nothing new and nothing complicated.

If you use 1% risk and 3% profit on each trade that means you need:

  • profitable 4 trades with possible 2 negative trades
    • 4 x 3% profit = 12% profit
    • 2 x 1% loss = 2% loss
    • TOTAL = 12% – 2% = 10% profit

As you can see you can take 6 trades and you can have 2 negative trades and 4 profitable trade to reach the goal.

Account Approval

The final step is to get account approval from FX2 funding.

Trading Rules

FX2 funding program has only three rules to get account approval and those rules are:

  • Maximum Drawdown
    • Accounts must not incur a 5% drawdown on the total account size.This 5% drawdown trails your account until you achieve a 5% return on your account.
    • Once you achieve a 5% return, it stops trailing and the drawdown is locked at your starting balance.
  • Daily Drawdown
    • Accounts must not incur a 4% drawdown in a single day
  • Inactivity
    • Accounts must not remain inactive for 30 days or more

As you can see one of the rules is not to lose 5% in trading. And the loss in a day cannot be 4%.

That means if you have proper risk management where each trade cannot be more than 1% or 2% or 3% you will not reach maximum drawdown. Because that trade will close before you reach the limit.

Scaling Plan

If you reach your trading goal of 10% you can ask for a larger account. With 10% gain you confirm that you know how to trade and why not to increase your profits.

Here are steps you need to take when you reach 10%gain to scale the account size:

  • make 10% gain
  • send a message to FX2 funding team that you want to *lock up your profits
    • That means you cannot withdraw your profit for 60 days
    • (*If after 60 days you decide to “unlock” and withdraw your profit, FX2 will also withdraw our additional scaled-up capital.)
  • FX2 funding will increase your original account size by 20%
  • maximum scale-up  is $1,000,000

With the FX2 scaling plan you can increase your profits by 20% each time you reach your 10% gain goal.

Here is an example how that could look like:

  • $100,000 account size
    • 10% gain = $10,000
  • New scaled plan = $120,000
    • 10% gain = %12,000
  • New scaled plan = $140,000
    • 10% gain = %14,000

Comparison With Other Proprietary Programs

Here is a table that contains a comparison between FX funding and other proprietary platforms.

The features are listed where you can see that FX2 funding has really good advantages compared to other funding platforms.

You can see that you do not have minimum trading days and there is no time limit.

And one of the good things is that weekend open positions are allowed. You can imagine when the weekend comes and you need to close your position when you are in loss, but you know that next week the trade would close in profit. Those situations make trading experience bad with other funding platforms.

Benefits you get out from the FX2 funding are:

  • not minimum trading days pressure
  • not time limit pressure to reach trading goal
  • not needed to close open position before the weekend
  • fast evaluation with only one step which gives you great opportunity to get funded account

Markets Allowed

FX2 allows trading on these markets:

  • Forex
  • Indices
  • Crypto

Leverage

FX2 funding offers you following leverage:

  • Forex market
    • 1:10
  • Indices
    • 1:5
  • Crypto Market
    • 1:2

FX2 Affiliate Program

FX2 has an affiliate program where they share 15 % of each completed sale, pre-tax.

That means when someone starts trading with FX2 funding you get 15% of the account size that trader has bought.

When you send a request to become an affiliate you get an email confirmation that your request was received.

Read more: How to Register for FX2 Affiliate Program

Conclusion

FX2 funding is a completely new funding platform for traders where traders have a much better opportunity to be funded.

There is only one step to pass the evaluation and then you have as much time as you need to reach the trading goal.

And I can read from the details that the FX2 funding is trying to help you get an approved funded account and not only take the money from you through the evaluation process.

With only one evaluation step they try to get you funded as fast as possible so you can make money for you and for them on the Forex market.

FAQ

Here are some most asked questions and answers to them. If you have other questions let me know over the contact page.

Maximum Drawdown

The maximum drawdown is 5% of your previous day’s closing balance (as of 17:00 EST).

If your negative equity reaches 5% of your previous day’s balance, FX2 funding system will automatically detect the violation and your account will be terminated immediately. This 5% drawdown trails your account until you achieve a 5% return on your account.

Once you achieve a 5% return, it stops trailing and the drawdown is locked at your starting balance.

Example: When starting with a $100,000 funded account, your account would violate the maximum drawdown rule when your equity breaches $95,000. If you profit $2,000 with a closed balance, then your new maximum drawdown would be $2,000 higher than previously ($97,000).

If you continue growing the account to $105,000, the new maximum drawdown would be permanently locked at the starting balance of $100,000. This would allow you to compound the account freely without exceeding the maximum drawdown.

For example, if you achieve a new high watermark of 40% (a closing balance of $140,000), you would (so long as you don’t lose more than 4% of your account in one day) only violate the maximum drawdown if your account lost more than $40,000 and is under $100,000.

This is great because if you manage to reach higher profits above $100,000 you could have more space to increase the risk per each trade and make more money. The maximum drawdown would be locked at $100,000.

Daily Drawdown

The daily max loss is the maximum your account is allowed to lose in one day. The daily max loss is 4% of your previous day’s closing balance (as of 17:00 EST).

If a trader’s negative equity reaches 4% of their previous day’s balance, our system will automatically detect the violation and their account will be terminated immediately.

Note: The daily max loss is not based on the previous day’s equity. It is based on the balance in your account.

Example: If your previous day’s closing balance was $100,000, your account would be terminated if your equity reached $96,000. If your account had floating equity of $10,000 at the previous day’s closing, it would still be terminated if your equity reached $96,000.

Is the Evaluation Fee Refundable if I Pass

Our traders pay a one-time fee to take FX2’s one-phase evaluation. This evaluation is a service rendered immediately upon purchase with no refund possible. All transactions made are final.

If you are purchasing an evaluation through FX2 funding, you are doing so in acknowledgment that your purchase is non-refundable.

Can I Scale Up My Account?

Yes. If you have achieved a profit of 10%, you may notify FX2 funding that you choose to “lock up” your profit (not withdraw it for 60 days) and they will match it with a 20% increase in your capital (as long as you keep your 10% in the account locked up).

If your account continues to gain profit and your balance closes with another 10% profit, you can lock it up again. FX2 funding will increase your capital by another 20%. Please note, scaling is capped at $1,000,000.

As your account scales up, so does your Maximum Trailing Drawdown.

For example, if FX2 funding scales up your account by 20%, your new maximum drawdown will become your original account balance + 20%.

If after 60 days, you decide to “unlock” and withdraw your profit, they will also withdraw their additional upscaled capital.

Example:

You have a $100,000 funded account and make a $10,000 (10%) profit. You notify FX2 Funding that you want to lock up the profit and scale up the account.

They increase your capital by 20% and your current balance stands at $130,000 (your maximum drawdown is now $120,000).

You then make another 10% profit ($13,000) and choose to lock it up, so they fund you another $20,000 (20% of your original account balance) and your current account then stands at $163,000 (your maximum drawdown is now $140,000).

Two months later, you make another 10% profit (closing balance of $179,300) and decide to cash in and take your total available profit. You may withdraw up to 85% of $39,300 ($179,300 – $140,000) = $33,405.

Important: If you request a withdrawal of the entire $39,300, you will breach the Maximum Trailing Drawdown Rule and your account will be terminated.

How Can I lose My Account?

There are only 3 ways to lose your account.

1. Daily Drawdown

Accounts must not incur a 4% drawdown on a single day.

2. Maximum Drawdown

Accounts must not incur a 5% drawdown on total account size. This 5% drawdown trails your account until you achieve a 5% return on your account. Once you achieve a 5% return, it stops trailing and the drawdown is locked at your starting balance

3. Inactivity

Accounts must not remain inactive for 30 days or more.

Note – if a trader notifies FX2 Funding that they cannot make a trade for 30 days due to extreme circumstances, they will allow the account to remain open. Such exceptions will be made on a case-by-case basis, and will generally only be allowed once.

Am I Trading Real Money?

Yes. We fund our live trader accounts with real money. They do not approve of prop firms that provide their passing traders with demo accounts and pay traders’ profit shares out of their own pockets. Besides the risk of ruin, they find it disreputable to root against their own traders.

On the contrary, at FX2 Funding they root hard for our traders’ success because when you benefit, we benefit as well.

Can I Trade News?

Yes. Traders may trade all news events.

Can I Trade WIth Expert Advisors?

Yes.

EAs, copy traders, scripts, and indicators are all permitted. That being said, malicious practices, such as taking advantage of arbitrage pricing or latency are against the rules.

If FX2 Funding detects that your trading constitutes malicious practices, your participation in the program may be terminated and may include forfeiture of any fees paid to FX2 Funding.

How Do I Request a Payout?

When a trader is eligible for a pay-out, a request can be easily made by clicking the blue withdraw button in the “wallet” tab of his dashboard.

FX2 processes all payouts via Deel.com. Traders who pass the FX2 evaluation will immediately receive instructions how to create a deel account. With deel.com, they offer payouts via bank transfer, Revolut, PayPal, Wise, Payoneer, Coinbase and Binance.

What is Leverage I Can Trade With?

FX2 provide a leverage of 1:10 on Forex pairs, 1:5 on indices and 1:2 on crypto pairs.

What Means Profit Share up to 85% ?

You may request your first payout 7 days after you execute your first trade on your live account. After your first payout, you may request another payout every 14 days.

The profit split for the first payout is 75/25 with you, the trader, keeping 75% of the withdrawn profits. The profit split for the second payout will be 80/20. Finally, the profit split for the third and all subsequent payouts will be 85/15.

“Disclosure: Some of the links in this post are “affiliate links.” This means if you click on the link and purchase the item, I will receive an affiliate commission. This does not cost you anything extra on the usual cost of the product, and may sometimes cost less as I have some affiliate discounts in place I can offer you”

Frano Grgić

Frano Grgić

A Forex trader since 2009. I like to share my knowledge and I like to analyze the markets. My goal is to have a website which will be the first choice for traders and beginners. Market analysis is featured by Forex Factory next to large publications like DailyFX, Bloomberg... GetKnowTrading is becoming recognized among traders as a website with simple and effective market analysis.

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