Breakout Prop Firm and FundedNext are two proprietary trading firms that offer traders access to capital through evaluation programs. While both firms have strengths, FundedNext stands out as the better choice due to its broader market offerings, established reputation, and trader-friendly features. Here’s a detailed comparison highlighting the differences between to prop trading firm.
1. Evaluation Process
Breakout Prop Firm
- Structure:
- Offers both a one-step and two-step evaluation process.
- Traders are required to achieve a 10% profit target in the initial evaluation phase.
- No time limits, allowing traders to progress at their own pace.
- Risk Management:
- Daily Loss Limit: 4% of the prior day’s account balance.
- Maximum Drawdown: 10%, calculated as a static drawdown.
- Leverage:
- Limited to 5:1 for major cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH).
- 2:1 for altcoins.
- Account Sizes:
- Available account sizes range from $5,000 to $100,000.
FundedNext
- Structure:
- Provides multiple evaluation models tailored to different trader needs:
- Stellar Two-Step: Phase 1 requires an 8% profit target, while Phase 2 requires 5%.
- Express Model: A single-phase evaluation with a 25% profit target for traders seeking a faster route to funding.
- One-Step Challenge: A single-phase evaluation requiring a 10% profit target, similar to Breakout Prop Firm.
- Time Limits: Includes generous timelines for completion, such as 4 weeks for Phase 1 and 8 weeks for Phase 2 in the two-step model.
- Provides multiple evaluation models tailored to different trader needs:
- Risk Management:
- Daily Loss Limit: Ranges from 3% to 5%, depending on the chosen model.
- Overall Drawdown: Static limits range from 6% to 10%.
- Leverage:
- Offers leverage of 1:100, providing traders with more flexibility for larger position sizes and diverse strategies.
- Account Sizes:
- Ranges from $6,000 to $200,000, with the ability to scale accounts up to $4 million based on performance.
Why FundedNext is Better:
- FundedNext provides more flexibility with multiple evaluation models, accommodating various trader preferences.
- Higher leverage (1:100) enables traders to maximize their strategies, unlike Breakout Prop Firm’s restrictive leverage.
- FundedNext’s timelines and structured phases provide a balanced approach, allowing for discipline without undue pressure.
2. Profit Sharing and Payouts
Breakout Prop Firm
- Profit Split:
- Starts at 80%, with opportunities to increase to 90% through add-ons and up to 95% via scaling plans.
- Payout Frequency:
- Payouts are processed bi-weekly.
- Processing times are typically 3-5 business days.
- Profit Deductions:
- Reports of unclear deductions during payouts, which can reduce trader earnings.
FundedNext
- Profit Split:
- Starts at 80% but scales up to 95% for consistent and high-performing traders.
- More transparent and straightforward than Breakout Prop Firm.
- Payout Frequency:
- Bi-weekly payouts with the option for traders to withdraw after just 14 trading days.
- Known for prompt payouts, often processed within 24-48 hours.
- Transparency:
- Clear and detailed payout structures ensure no hidden fees or deductions.
Why FundedNext is Better:
- FundedNext offers faster and more reliable payouts.
- The transparent profit-sharing model and scalability up to 95% provide greater clarity and incentives for traders.
3. Trading Platforms and Instruments
Breakout Prop Firm
- Platform:
- Utilizes a proprietary platform called the Breakout Terminal.
- Includes features like TradingView charting tools, advanced order types, and integration with centralized exchange liquidity.
- Exclusively available on web and mobile.
- Instruments:
- Focuses entirely on cryptocurrencies, offering over 100 assets, including major coins, altcoins, and perpetual futures contracts.
FundedNext
- Platform:
- Supports industry-standard platforms like MetaTrader 4 (MT4) and MetaTrader 5 (MT5).
- Offers compatibility with expert advisors (EAs), custom indicators, and a range of third-party integrations.
- Instruments:
- Includes forex, indices, commodities, cryptocurrencies, and stocks, providing a diverse market selection.
- Offers broader market opportunities compared to Breakout’s crypto-only focus.
Why FundedNext is Better:
- FundedNext’s support for MT4/MT5 is a huge advantage for experienced traders who rely on these trusted platforms.
- The wider range of tradable instruments makes FundedNext suitable for traders who want to diversify their strategies beyond cryptocurrencies.
4. Customer Support and Transparency
Breakout Prop Firm
- Customer Support:
- Provides email and live chat support.
- Limited availability and slower response times, particularly during high trading periods.
- Transparency:
- Some traders have reported unclear rules and vague terms, particularly around profit-sharing and payout deductions.
FundedNext
- Customer Support:
- Offers 24/7 customer support via live chat, email, and phone.
- Known for fast response times and knowledgeable representatives.
- Transparency:
- Provides clear, detailed documentation for all policies, including risk management, scaling plans, and payouts.
Why FundedNext is Better:
- FundedNext’s 24/7 support ensures traders can get help whenever needed.
- The firm’s commitment to transparency fosters trust and confidence among its traders.
5. Reputation and Community Feedback
Breakout Prop Firm
- Reputation:
- A newer firm established in late 2023, with limited operational history and trader reviews.
- Community Feedback:
- Limited testimonials make it challenging to assess long-term reliability.
FundedNext
- Reputation:
- An established firm with a strong track record of supporting traders and processing payouts efficiently.
- Community Feedback:
- Positive reviews emphasize the firm’s transparency, reliability, and prompt payouts.
Why FundedNext is Better:
- FundedNext’s proven track record and positive community reputation make it a safer choice for traders.
Conclusion
Both Breakout Prop Firm and FundedNext provide opportunities for traders to access funded accounts, but FundedNext clearly stands out as the better choice for several reasons:
- Flexible Evaluation Models: FundedNext offers multiple options, accommodating diverse trader needs.
- Higher Leverage: With 1:100 leverage, FundedNext supports more robust trading strategies compared to Breakout’s restrictive leverage.
- Platform Superiority: FundedNext supports MT4/MT5, while Breakout relies solely on a proprietary platform with limited features.
- Diverse Markets: FundedNext’s broader range of tradable instruments allows traders to diversify their strategies beyond cryptocurrencies.
- Reputation and Support: FundedNext has a proven track record, transparent policies, and 24/7 customer support.
For traders seeking a comprehensive, reliable, and flexible proprietary trading firm, FundedNext is the superior choice. Breakout Prop Firm may appeal to those focused exclusively on cryptocurrencies, but its limitations and lack of transparency make it less competitive overall.