1. Company Background
- Funding Pips:
Established in August 2022 and headquartered in Dubai, UAE, Funding Pips focuses on providing traders access to substantial capital, offering funding up to $2,000,000. The firm collaborates with regulated brokers to ensure a secure prop trading environment and emphasizes flexibility in trading rules. - FTMO:
Founded in 2015 and based in Prague, Czech Republic, FTMO is one of the most established and reputable proprietary trading firms. It offers account funding up to $400,000, with a strong emphasis on trader support, risk management, and education.
2. Evaluation Process
- Funding Pips:
- One-Step Evaluation: Traders must meet a profit target while adhering to strict drawdown rules.
- Two-Step Evaluation: Similar to FTMO’s model, requiring traders to pass two phases with specified profit and risk targets.
- Three-Step Evaluation: Adds an additional phase, focusing on consistency and risk management over an extended period.
- FTMO:
- Two-Step Evaluation:
- Phase 1: Achieve a 10% profit target within 30 calendar days.
- Phase 2: Achieve a 5% profit target within 60 calendar days.
- Minimum trading days of 10 are required in both phases.
- FTMO’s evaluation is well-known for its simplicity and transparent rules.
- Two-Step Evaluation:
Key Difference: Funding Pips offers more evaluation options, including a three-step process, whereas FTMO provides a consistent two-step evaluation model.
3. Account Sizes and Funding
- Funding Pips: Offers funding up to $2,000,000 for traders who successfully complete their evaluation programs.
- FTMO: Provides maximum funding of $400,000 per account, with opportunities to scale accounts further based on performance.
Key Difference: Funding Pips offers higher potential funding limits, making it appealing for traders looking to manage significant capital.
4. Profit Splits
- Funding Pips:
- Traders can earn up to 90% of profits.
- Offers flexible payout schedules.
- FTMO:
- Starts with an 80% profit split, which can increase to 90% based on consistent performance.
Key Difference: Both firms offer competitive profit splits, but FTMO ties higher percentages to long-term performance, whereas Funding Pips provides up to 90% upfront.
5. Payouts
- Funding Pips:
- Payouts can be requested as frequently as every two weeks.
- Some traders have reported delays in payout processing, citing documentation issues.
- FTMO:
- Payouts are available monthly, with an option for early withdrawal after 14 days of trading.
- Known for its reliable and prompt payout system.
Key Difference: Funding Pips offers bi-weekly payouts, while FTMO focuses on monthly reliability and speed.
6. Trading Rules and Restrictions
- Funding Pips:
- News Trading Restrictions: Disallows profits from trades closed 10 minutes before or after high-impact news events unless opened 5 hours prior.
- Prohibited Strategies: Includes restrictions on hedging, latency arbitrage, and certain algorithmic methods.
- Daily Lot Size Limit: Imposes a cap of 10 lots per day on some accounts.
- FTMO:
- Permits news trading and automated strategies, as long as they comply with risk management rules.
- Does not impose restrictions on trading volume or style.
Key Difference: FTMO offers greater flexibility in trading strategies, while Funding Pips enforces stricter rules and caps.
7. Trading Platforms and Instruments
- Funding Pips:
- Supports MetaTrader 4 (MT4) and MetaTrader 5 (MT5).
- Offers a variety of instruments, including forex, indices, commodities, and cryptocurrencies.
- FTMO:
- Provides access to MetaTrader 4 (MT4), MetaTrader 5 (MT5), and cTrader.
- Includes a wide range of instruments, similar to Funding Pips.
Key Difference: Both firms offer robust platform support and trading instruments, with FTMO providing an additional platform option in cTrader.
8. Scaling Opportunities
- Funding Pips:
- Offers scaling plans but lacks detailed criteria for scaling compared to industry standards.
- FTMO:
- Allows traders to scale accounts by 25% after achieving a 10% profit over four consecutive months.
Key Difference: FTMO’s scaling plan is more structured and transparent, while Funding Pips focuses on funding limits rather than scaling details.
9. Reputation and Longevity
- Funding Pips:
- As a newer firm, Funding Pips is still building its reputation in the trading community.
- Some traders have raised concerns about transparency and payout reliability.
- FTMO:
- With nearly a decade of operation, FTMO has established itself as a trusted leader in the industry.
- Widely praised for its transparency, support, and trader-centric policies.
Key Difference: FTMO has a more established reputation, while Funding Pips is relatively new and still proving its credibility.
Conclusion
Funding Pips and FTMO cater to different trader preferences and needs. Funding Pips offers higher funding potential, multiple evaluation paths, and bi-weekly payouts, appealing to traders seeking flexibility and scalability. FTMO, on the other hand, provides a streamlined evaluation process, consistent rules, and a proven reputation for reliability and support.
Traders should carefully assess their priorities—whether it’s funding size, evaluation flexibility, payout frequency, or firm reputation—to choose the platform that best aligns with their trading style and goals.
