AquaFunded, a proprietary trading firm established in December 2023, is headquartered in Dubai, UAE. With its vision to empower traders by providing significant capital, AquaFunded claims to stand out through its competitive evaluation programs, high profit splits, and scaling opportunities. However, as with any prop firm, understanding its rules, strengths, and potential red flags is essential before committing.
Who is AquaFunded?
AquaFunded positions itself as a firm that nurtures trading talent by offering access to substantial trading capital, transparent profit-sharing models, and scaling plans. The firm caters to traders of various experience levels and allows them to use its funding to trade across multiple markets. AquaFunded operates under the leadership of CEO Jason Blax and aims to create a trader-friendly ecosystem by providing advanced tools and flexible conditions.
Key Features:
- Headquarters: Dubai, UAE.
- Focus: Offering flexible evaluation programs and scaling opportunities.
- Target Audience: Both beginner and experienced traders seeking a structured yet accommodating trading environment.
Evaluation Programs and Rules
AquaFunded offers two main evaluation models designed to assess traders’ skills, discipline, and risk management.
1. One-Step Challenge
- Profit Target: Achieve a 9% profit target to pass.
- Maximum Daily Loss: Limited to 3% of the account balance, calculated based on equity and balance.
- Maximum Overall Drawdown: Capped at 6% trailing drawdown, providing strict risk constraints.
- Minimum Trading Days: No minimum trading day requirement, allowing traders to complete the evaluation at their own pace.
- Account Sizes:
- $10,000: $97 fee.
- $25,000: $197 fee.
- $50,000: $297 fee.
- $100,000: $497 fee.
- $200,000: $997 fee.
- Trading Restrictions: News trading and the use of automated systems like Expert Advisors (EAs) are permitted.
2. Two-Step Challenge
- Phase 1:
- Profit Target: 9%.
- Maximum Daily Loss: 3%.
- Maximum Overall Drawdown: 6%.
- Phase 2:
- Profit Target: 5%.
- Risk Parameters: Same as Phase 1 (3% daily loss and 6% overall drawdown).
- Minimum Trading Days: No minimum, providing flexibility.
- Account Sizes and Fees:
- $10,000: $58 fee.
- $25,000: $197 fee.
- $50,000: $297 fee.
- $100,000: $497 fee.
- $200,000: $747 fee.
Scaling Plan
- Traders who demonstrate consistent profitability can scale their accounts up to $2,000,000 by achieving a 12% profit over three months.
- Scaling is dependent on maintaining strict adherence to risk management rules.
Profit Sharing and Payouts
- Profit Split:
- Starts at 80%, with the potential to increase to 90% for high-performing traders.
- The split is among the more competitive in the industry, allowing traders to retain a substantial portion of their earnings.
- Payout Frequency:
- Bi-weekly payouts, with the first withdrawal available as early as seven trading days after starting.
- Withdrawals are processed promptly, ensuring traders have access to their profits without significant delays.
Trading Conditions
Leverage
- Offers leverage of 1:100, providing flexibility for various trading strategies and position sizes.
Trading Instruments
- AquaFunded provides access to a wide range of instruments, including:
- Forex: Major, minor, and exotic currency pairs.
- Commodities: Gold, silver, and other metals.
- Indices: Global stock indices.
- Cryptocurrencies: A diverse selection of digital assets.
Trading Platforms
- Supports MetaTrader 4 (MT4) and MetaTrader 5 (MT5), popular among traders for their reliability, customization options, and compatibility with Expert Advisors (EAs).
Trading Flexibility
- Allows news trading, scalping, swing trading, and automated trading strategies, offering a high degree of freedom for traders to execute their preferred approaches.
Red Flags and Concerns
While AquaFunded markets itself as a trader-centric firm, there are several red flags and concerns that potential users should be aware of.
1. Strict Evaluation Criteria
- Risk Limits: A maximum daily loss of 3% and an overall drawdown of 6% are among the stricter parameters in the industry, leaving little room for error.
- High Profit Targets: A 9% profit target for the One-Step Challenge and Phase 1 of the Two-Step Challenge may be difficult to achieve, especially for traders dealing with volatile markets.
2. Limited Track Record
- Being a relatively new firm established in late 2023, AquaFunded lacks a proven operational history. Traders have limited insight into the firm’s reliability, consistency in payouts, and overall reputation.
3. Evaluation Costs
- While AquaFunded’s fees are competitive, the non-refundable nature of these costs increases the financial risk for traders who fail to meet the evaluation requirements.
4. Potential for Over-Leveraging
- The leverage of 1:100, while attractive to some, can also lead to over-leveraging, increasing the likelihood of breaching strict drawdown limits during volatile market conditions.
5. Lack of Direct Mentorship
- Unlike some competitors, AquaFunded does not offer direct mentoring or personalized coaching for its traders. This may leave less experienced traders without the guidance needed to succeed.
6. Geographical Restrictions
- AquaFunded’s services are unavailable in certain regions, potentially limiting access for traders in restricted jurisdictions.
Conclusion
AquaFunded presents itself as an attractive option for traders seeking substantial funding, a high profit split, and flexible trading conditions. However, the firm’s strict evaluation criteria, limited operational history, and absence of mentoring support raise important considerations for prospective traders.
Key Strengths:
- Competitive profit-sharing model (up to 90%).
- Flexible trading conditions, including news trading and EA usage.
- Diverse range of tradable instruments and support for MT4/MT5 platforms.
Key Concerns:
- Stringent risk management rules and high profit targets during evaluations.
- Limited track record, making it difficult to assess long-term reliability.
- Lack of mentorship and direct support for skill development.
Recommendation:
Traders considering AquaFunded should carefully evaluate its rules and compare its offerings with those of other proprietary trading firms, such as FTMO, FundedNext, or PaidPex, which may provide a more established reputation, flexible conditions, or better support for trader success. Conduct thorough research and weigh the risks before committing to AquaFunded’s programs.
