The Benefits of Trading with a Prop Firm

There are three basic rules for success in financial markets: Knowledge, experience and capital. It is possible to gain knowledge and experience as you spend time in financial markets, but creating capital is not always that easy. Even if you achieve a high level of success, it may take years to reach the capital that you target. 

İf you already know what is prop firm you can start to make money safety in your way.

This is where prop companies come into play. Prop companies offer the opportunity to grow your total balance without risking your own capital. If you think you are successful in the financial markets but do not have enough capital, prop companies are just for you!

 

What are These Prop Companies?

 

Prop companies are private companies that offer certain advantages to traders. With prop companies, traders have the opportunity to trade with the high balances offered by these companies without risking their own capital.

 

At this point, you may be asking why these prop firm companies offer us traders the opportunity to trade with high capital. The answer lies in the business model of prop companies. While these companies provide successful traders with access to high capital; They also aim to increase their earnings by recruiting successful traders. Traders who fail to complete the challenge, provide capital to these companies with the accounts they purchased. Therefore, this business model creates a win-win situation for both parties.

What are the Advantages of Trading in Prop Companies?

 

Firstly and most importantly, of course, creating capital. With prop firms, you can reach the capital you aim for in 5 or 6 months instead of 10 years. Yes, you read that correctly. Lionfunded offers account options from $5,000 to $100,000. When you reach the required profit targets without any time limit for the phases, you have the opportunity to trade with this capital and make profits. This allows you to reach your target capital in a very short time.

 

Secondly, we can talk about the rules.

You might ask why the rules set by the firm would be to our advantage?

Let’s answer right away: To improve your trading skills. You can trade as you wish in your own account, but challenge accounts have certain rules such as daily drawdown and total drawdown. You need to trade within these rules, which indirectly helps you develop your trading skills and become a better and more careful trader.

Third, rewards. Lionfunded organizes competitions to measure the skills of traders. In the competition, your goal is to grow the balance of the accounts given to you as much as possible within a certain time. If you win the competition, you receive a challenge account or a cash reward based on your ranking!

Risk Menagement of Prop Firm

Fourth and lastly, we can talk about risk management. You need to be able to manage your risk depending on the rules offered by the company. Your total loss should not exceed 5% in one day, and your total loss throughout the challenge should not exceed 10%. When you pay attention to these rules, over time you become a trader who understands risk management and can manage capital. This returns to you as a very serious experience in the following stages in your trading life.

 

As a result, prop firm companies are a unique opportunity for both experienced traders and those who want to gain experience. With prop firm companies, you do not risk your existing capital and you get the chance to grow your capital as quickly as possible. As Lionfunded, we are ready to provide you with all the support you need on this journey. There is no maximum number of days to complete phases! No hidden rules! No swap fees! 

 

We will continue to stand by your side in growing your own capital