Prop firms that offer a 2-phase challenge

two step challenge

Table of Contents

Introduction to Two-Step Challenges

In the context of prop firms, a 2-step or 2-phase program typically refers to a two-tiered approach where traders can prove their skills in order to become funded traders. This dual-layered system is designed to test control, skill, and risk mitigation. It is a very popular program and almost all prop firms offer some kind of 2-step challenge.

The 2-Steps of the Program

The first step generally requires a higher profit target than the second step, somewhere around 8-10%. Some firms require this to be reached within a certain time frame, and some give traders unlimited time. The second step usually requires a slightly lower profit target. Something around the 5% mark, and again, sometimes traders need to reach this within a certain amount of time, and sometimes they don’t.

Guidelines and Limitations

Other guidelines and limitations are implemented in these programs in order to test the traders’ skills. These are things like max daily loss. This is the amount a trader can lose before their account is terminated or temporarily blocked. This is usually around 5%. Max loss which is the amount a trader can lose in general. This is usually around 10%.

2 Steps Programs Cost Variability and Account Size Options

Prices range from under $50 to over $1000 depending on the size of the account. Most firms will have a couple of options so traders can pick an account size that fits into their budget.

Importance of Rule Familiarity Before Enrollment

It is important to check all the rules before signing up for one of these programs. That way you can make sure your trading style will not breach any rules and result in your account being terminated.

Crucial Role in Maintaining Trading Integrity

Implementing 2-step programs is crucial for maintaining the integrity of prop trading strategies. By enforcing a structured and systematic approval process, prop firms can minimize the potential for significant trading losses, ensure adherence to risk parameters, and foster a culture of responsible trading among their teams. Additionally, the 2-step approach allows firms to continually refine their trading strategies based on collective insights and experience, contributing to a more robust and adaptive trading environment.

List of Prop firms that offer a 2-phase challenge

  1. E8 Funding

    E8’s E8 Account is a 2-phase challenge. Read more about E8 on our E8 review!

  2. The Funded Trader

    This firm’s Standard Challenge is also a two step challenge.

  3. Funded Next

    For 2 phase progrmas see this firm’s Evaluation and Stellar Programs.

  4. The5ers

    The5ers High-Stakes Challenge is a two step challenge. Read about The5ers on our The5ers review.

  5. TopTier Trader

    Top Tier Challenge and Top Tier Challenge Plus are 2 choices for a two step challenge.

  6. Blue Guardian

    Unlimited Guardian and Elite Guardian is Blue Guardian’s choice for a two step challenge.

  7. FTMO

    Any FTMO Challenge is a two step challenge. To learn more about FTMO read our FTMO review.

  8. True Forex Funds

    TFF’s 2 Phase Evaluation is, naturally, a two step challenge.

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