FTMO Review: Is This Prop Firm Worth Your Time?

If you’re a retail trader looking to trade with substantial capital without risking your own money, you’ve probably heard of FTMO. This proprietary trading firm has exploded in popularity over the past few years, promising traders access to funded accounts worth up to $200,000 after passing their evaluation process.

But with so many prop firms entering the market, many making bold promises they can’t keep, it’s natural to wonder: is FTMO legit, or is it just another scheme designed to collect evaluation fees without ever actually funding traders?

FTMO stands out in the crowded prop trading landscape for several reasons. Founded in 2015, the Czech Republic-based company has funded thousands of traders and paid out millions in profit splits. They’ve built a reputation for transparency, reliable payouts, and a structured evaluation process that tests real trading skills rather than luck.

However, passing the FTMO Challenge isn’t easy. The evaluation has strict rules, tight drawdown limits, and specific trading objectives that eliminate most applicants. Many traders pay the evaluation fee multiple times before passing, if they pass at all.

In this comprehensive FTMO review, we’ll examine everything you need to know about this prop firm. You’ll learn how the evaluation process works, what the rules and requirements are, how much you can realistically earn, what traders actually say about their experiences, and whether FTMO is worth your time and money. By the end, you’ll have the information needed to decide if FTMO aligns with your trading goals and skill level.

---

What is FTMO and How Does It Work?

Understanding the FTMO Business Model

FTMO operates as a proprietary trading firm, also known as a prop firm or prop trading company. Unlike traditional brokers, where you trade your own money, FTMO provides capital to traders who pass their evaluation process.

Here’s how the FTMO business model works:

1. Traders pay a fee to enter the evaluation process
2. They must complete two testing phases with specific profit targets and risk rules
3. Successful traders receive a funded account with FTMO capital
4. Traders keep 80-90% the profits they generate
5. FTMO keeps the remainder and profits from evaluation fees

This model benefits both parties. Traders gain access to capital they might not have on their own, while FTMO identifies skilled traders who can generate consistent returns on their capital.

FTMO Account Sizes and Options

FTMO offers several funded account sizes to accommodate traders at different skill levels:

• $10,000 account: Entry-level option for beginners
• $25,000 account: Popular choice for intermediate traders
• $50,000 account: Standard size for experienced traders
• $100,000 account: For advanced traders with proven track records
• $200,000 account: Maximum account size available

The larger the account size, the higher the evaluation fee. However, larger accounts also offer greater profit potential. Many successful traders start with smaller accounts and scale up to larger sizes after proving their consistency.

The Two-Step Evaluation Process

Unlike some prop firms that use a single evaluation phase, FTMO employs a two-step process designed to thoroughly test a trader’s abilities:

Phase 1 – FTMO Challenge: The first phase requires traders to achieve a 10% profit target within 30 calendar days without violating any risk management rules.

Phase 2 – Verification: After passing the Challenge, traders move to the Verification phase, where they must achieve a 5% profit target within 60 calendar days under the same risk rules.

This two-phase approach helps FTMO identify traders who can produce consistent results rather than just getting lucky once. According to data published by the company, approximately 10-15% of traders pass both phases.

---

FTMO Challenge Rules and Requirements

Profit Targets Explained

The FTMO Challenge has clear profit targets that traders must hit within specific timeframes:

Challenge Phase (Phase 1):

• Profit target: 10% of initial account balance
• Time limit: 30 calendar days
• Minimum trading days: 4 days with at least one position opened

Verification Phase (Phase 2):

• Profit target: 5% of initial account balance
• Time limit: 60 calendar days
• Minimum trading days: 4 days with at least one position opened

These targets are achievable for skilled traders but challenging enough to filter out those who rely on excessive risk or luck. The minimum trading day requirement prevents traders from hitting the target in one or two lucky trades.

Maximum Drawdown Limits

Risk management is central to FTMO’s evaluation criteria. The prop firm enforces two types of drawdown limits:

Maximum Daily Loss: 5% of the account balance at the start of each trading day. This limit resets daily and includes both closed and open positions. If you breach this limit, your evaluation immediately ends.

Maximum Loss: 10% of the initial account balance. This is a cumulative limit that tracks your worst equity level relative to the starting balance. Unlike the daily loss limit, this considers your account’s lowest point throughout the entire evaluation.

Understanding these drawdown rules is critical. Many traders fail not because they can’t generate profits, but because they violate these risk limits through poor position sizing or lack of stop losses.

Trading Instruments and Restrictions

FTMO provides access to a wide range of trading instruments:

• Forex pairs: All major, minor, and exotic currency pairs
• Commodities: Gold, silver, oil, and other popular commodities
• Indices: Major stock indices from around the world
• Cryptocurrencies: Bitcoin and other cryptocurrency pairs (with restrictions)

However, there are some limitations:

• No trading during the first or last 15 minutes before major news releases
• Cryptocurrency tradingis  limited to 5% of the account balance
• No holding positions over weekends during the Challenge phase (optional restriction)
• No hedging or arbitrage strategies (prop firm is strict about this)

These restrictions exist to ensure traders demonstrate genuine market analysis skills rather than exploiting broker inefficiencies or taking on excessive risk around volatile events.

Consistency Rules

FTMO wants traders who can generate steady returns, not gamblers who get lucky. The consistency rule states that your single best trading day cannot exceed 50% of your total profit during the evaluation.

For example, if you make $5,000 total profit during the Challenge, no single day can contribute more than $2,500 of that profit. This rule prevents traders from passing through one extremely risky trade while performing poorly the rest of the time.

---

FTMO Costs and Profit Split

Evaluation Fees Breakdown

Entering the FTMO Challenge requires an upfront fee that varies by account size:

• $10,000 account: $155 challenge fee
• $25,000 account: $250 challenge fee
• $50,000 account: $345 challenge fee
• $100,000 account: $540 challenge fee
• $200,000 account: $1,080 challenge fee

These fees are non-refundable if you fail the evaluation. However, FTMO refunds your challenge fee with your first profit split once you pass both phases and receive a funded account. This means successful traders essentially participate in the evaluation for free.

Profit Sharing Structure

Once you receive your FTMO-funded account, you keep a significant portion of the profits you generate:

Standard Profit Split: 80% to the trader, 20% to FTMO

Scaling Plan Bonus: After meeting certain performance criteria, you can increase your profit split to 90% and scale your account size up to $2,000,000.

This profit split is competitive within the prop trading industry. Some prop firms offer higher splits, but often with stricter rules or less favorable evaluation processes.

Withdrawal Process and Timing

FTMO allows traders to request profit withdrawals on a flexible schedule:

• Minimum profit: $100 (some account types may vary)
• Withdrawal frequency: Every 14 days after your first withdrawal
• Payment methods: Bank transfer, cryptocurrency, payment processors
• Processing time: 1-3 business days typically

The company has a strong reputation for reliable and timely payouts, which is one of the most important factors when choosing a prop firm. According to Trustpilot reviews, FTMO maintains a high rating with many traders confirming they’ve received their profit withdrawals without issues.

---

FTMO Trading Platform and Tools

MetaTrader Integration

FTMO provides traders with industry-standard trading platforms:

MetaTrader 4 (MT4): Classic platform with extensive indicator library and expert advisor support

MetaTrader 5 (MT5): Modern platform with additional timeframes, order types, and improved charting

Both platforms come pre-configured with FTMO account credentials after you pass the evaluation. You can use the same trading strategies, indicators, and expert advisors you’re already familiar with.

FTMO Trading App and Dashboard

Beyond the trading platforms, FTMO offers supplementary tools:

FTMO App: Mobile application for monitoring your account statistics, performance metrics, and account status from your phone.

Client Dashboard: Web-based portal where you can track your challenge progress, view detailed trading statistics, manage your account, and request withdrawals.

Performance Analytics: Detailed breakdowns of your trading behavior, including win rate, average trade duration, best performing instruments, and risk metrics.

These tools help traders understand their performance patterns and identify areas for improvement.

Additional Resources for Traders

FTMO provides substantial educational content and trader support:

• Free trading courses: Video tutorials covering trading psychology, risk management, and strategy development
• Webinars: Regular live sessions with professional traders
• Economic calendar: Built-in calendar highlighting major news events
• Trading journals: Tools for documenting and analyzing your trades
• FTMO Metrics: Advanced analytics showing how your performance compares to other funded traders

These resources add value beyond just providing capital, especially for traders still developing their skills.

---

Real FTMO Trader Experiences

Success Stories and Testimonials

Many traders have found success with FTMO and openly share their experiences:

Successful FTMO traders commonly report:

• Receiving their first payout within a month of getting funded
• Professional and responsive customer support
• Fair evaluation process that rewards skill over luck
• Reliable monthly income from their funded accounts
• Opportunities to scale up to larger account sizes

The prop firm regularly features successful traders on their blog and social media, providing transparency about what’s possible. Some traders have built full-time income streams trading FTMO accounts, with top performers earning six figures annually.

Common Challenges and Complaints

Not every trader has a positive experience. Common complaints about FTMO include:

High failure rate: The majority of traders don’t pass both evaluation phases. While this maintains quality, it means many people lose their evaluation fees.

Strict rules: The drawdown limits and consistency rules catch many traders off guard. One bad trade can end your evaluation immediately.

Evaluation pressure: Some traders report that the time limits and profit targets create psychological pressure that affects their normal trading performance.

Costly retries: Failing multiple times means paying evaluation fees repeatedly, which can add up quickly if you’re not properly prepared.

Limited scalability for some: While scaling options exist, the path from a small account to maximum size requires consistent performance over extended periods.

Comparison to Other Prop Firms

How does FTMO stack up against competitors like MyForexFunds, The5%ers, or Funded Trading Plus?

Advantages of FTMO:

• Longer track record and proven payout history
• Transparent rules and evaluation criteria
• Strong regulatory standing and company reputation
• Comprehensive trader education and resources
• Flexible trading style (no mandatory strategies)

Disadvantages compared to alternatives:

• Higher evaluation fees than some competitors
• Stricter consistency rules
• No instant funding options (must complete both phases)
• Lower profit splits than the most generous competitors (though FTMO’s 80% is still competitive)

According to research by independent trading communities, FTMO consistently ranks among the top three most reputable prop trading firms based on trader satisfaction and payout reliability.

---

Who Should Consider FTMO?

Ideal Candidate Profile

FTMO works best for certain types of traders:

Consistent traders with proven strategies: If you have a trading system that generates steady returns with controlled risk, FTMO provides the capital to maximize your strategy.

Risk-conscious traders: The strict drawdown rules favor traders who prioritize capital preservation and use proper position sizing.

Patient traders: The two-phase evaluation process rewards traders who can maintain discipline over time rather than seeking quick wins.

Full-time or serious part-time traders: The evaluation requirements and trading days minimums work best for traders who can dedicate regular attention to the markets.

Traders seeking skill validation: Beyond just capital access, passing the FTMO evaluation serves as third-party validation of your trading abilities.

Who Should Look Elsewhere

FTMO isn’t right for everyone:

Aggressive traders: If your strategy relies on high leverage, large position sizes, or significant drawdowns, you’ll likely violate FTMO’s risk rules.

News traders: The restrictions around major economic releases make pure news trading strategies difficult or impossible.

Beginners still learning: If you’re not yet consistently profitable in your own trading, paying FTMO evaluation fees will likely just waste money. Practice and develop your skills first.

Cryptocurrency specialists: With crypto trading limited to 5% of account balance, pure crypto traders will find better options elsewhere.

Those seeking passive income: FTMO requires active trading and meeting minimum trading day requirements. It’s not a passive opportunity.

---

How to Increase Your Chances of Passing FTMO

Preparation Before Starting

Don’t jump into the FTMO Challenge unprepared. Take these steps first:

1. Trade on a demo account with the exact rules and account size you’ll use in the evaluation
2. Track your statistics to ensure you can consistently hit the profit targets within the drawdown limits
3. Test your psychology by treating demo trades as seriously as real money
4. Review all FTMO rules multiple times until they’re completely clear
5. Create a trading plan that specifically addresses how you’ll manage the daily loss limit and consistency rule

Many successful traders report practicing for 2-3 months on demo accounts before attempting their first evaluation. This preparation pays off through higher pass rates and fewer costly retries.

Risk Management Strategies

Passing FTMO is more about avoiding losses than maximizing gains:

Position sizing rules: Never risk more than 1-2% of account balance on a single trade. This ensures one bad trade won’t trigger the daily loss limit.

Stop loss discipline: Set stop losses on every trade before entry and never move them further away from your entry.

Daily profit locks: Consider stopping trading for the day once you’ve achieved a reasonable profit to protect against giving back gains.

Avoid revenge trading: If you hit your daily loss limit or have a bad trade, don’t immediately jump back in trying to recover losses.

Trade fewer instruments: Focus on 2-3 markets you know well rather than trading everything available.

According to FTMO’s own trader statistics, funded traders typically risk 0.5-1% per trade and maintain win rates of 50-60%, proving that consistency beats aggression.

Mental Game and Psychology

The psychological aspect of the FTMO Challenge often determines success or failure:

Manage performance anxiety: Remind yourself that you’re trading a demo account during evaluation. The only real money at risk is your evaluation fee.

Avoid target fixation: Don’t obsess over hitting the profit target by the deadline. Focus on executing your strategy properly and let the results follow.

Take breaks: If you’re feeling emotional about your trades, step away. You have 30 days in Phase 1, so there’s no rush.

Accept failure as learning: If you don’t pass, analyze what went wrong and adjust before retrying. Each attempt teaches you something.

Celebrate small wins: Acknowledge good trading decisions even if the trade itself was a small profit. Process matters more than individual outcomes.

The Trading Psychology Guide from Investopedia offers additional strategies for managing the mental challenges of performance-based trading.

---

FTMO Alternatives Worth Considering

Direct Competitors

If FTMO doesn’t seem like the right fit, several alternatives offer different approaches to prop trading:

MyForexFunds: Lower evaluation fees and more relaxed rules, but a newer company with a shorter track record.

The 5%ers: A Unique scaling program that starts traders with smaller accounts and gradually increases the size based on performance.

Funded Trading Plus: Offers instant funding options for experienced traders willing to pay higher fees upfront.

TopstepTrader: Focuses on futures trading rather than forex, with a monthly subscription model instead of one-time fees.

FTMO stands out for its balance of fair rules, proven payouts, and trader education, but these alternatives may better suit specific trading styles or preferences.

Traditional Alternatives

Beyond prop firms, traders have other options for accessing capital:

Personal capital growth: Building your own trading account eliminates all restrictions but requires initial capital and accepts full risk.

Copy trading platforms: Experienced traders can earn income by having others copy their trades on platforms like eToro or ZuluTrade.

Hedge fund employment: Traditional trading jobs offer salaries but require credentials, relocation, and giving up independence.

Funded programs from brokers: Some brokers offer capital allocation to successful demo traders, though terms are often less favorable than dedicated prop firms.

Each path has trade-offs between capital access, rule restrictions, income potential, and risk exposure.

---

FTMO Regulation and Safety

Company Background and Legitimacy

FTMO operates as a legitimate, registered business entity:

• Founded in 2015 in the Czech Republic
• Legal entity: FTMO s.r.o.
• Transparent ownership and management team
• Physical office address and customer support
• Registered with the appropriate Czech business authorities

The company has grown from a small startup to funding thousands of traders globally, demonstrating sustainable business practices and genuine capital deployment.

Is Your Money Safe?

An important distinction: When you pay the evaluation fee, this is a service fee for the assessment program, not a deposit with a broker. FTMO keeps evaluation fees regardless of outcome.

Once you receive a funded account, you’re trading FTMO’s capital, not your own. This means:

• You cannot lose more than your evaluation fee
• Account losses come from FTMO’s capital, not yours
• Profit withdrawals come from your share of generated profits
• No additional deposits are required after passing the evaluation

This structure actually protects traders from the significant capital losses possible in traditional trading accounts.

Regulatory Standing

While FTMO itself isn’t a regulated broker (it’s a proprietary trading firm), they partner with regulated brokers for actual trade execution. The company operates transparently and has never faced serious legal issues or regulatory sanctions.

The prop trading industry as a whole operates in a less regulated space than retail brokers, which is why reputation and track record are so important when choosing a firm.

---

Final Verdict: Is FTMO Worth It?

Weighing the Pros and Cons

Advantages of FTMO:

• Proven track record with consistent payouts since 2015
• Fair and transparent evaluation process
• Access to substantial trading capital ($10K-$200)
• Competitive 80% profit split (90% with scaling plan)
• No personal capital at risk beyond the evaluation fee
• Comprehensive education and trader support
• Flexible trading styles and strategies allowed
• Regular opportunities to scale account sizes

Disadvantages of FTMO:

• Strict drawdown rules that many traders violate
• Evaluation fees are lost if you don’t pass (though refunded if you do)
• Time pressure from 30-day and 60-day evaluation windows
• High failure rate (85-90% don’t pass both phases)
• Consistency rules that require steady performance
• Trading restrictions around news events and position sizes

Cost-Benefit Analysis

Is the FTMO evaluation fee worth the potential return?

Consider a $100,000 account:

• Evaluation fee: $540
• Monthly profit target (conservative): $5,000 (5%)
• Your 80% share: $4,000
• Break-even timeline: First withdrawal covers the evaluation fee
• Potential annual income: $48,000+ (if consistently profitable)

For a skilled trader who can maintain 5% monthly returns, the ROI on the evaluation fee is enormous. However, this assumes you pass the evaluation and maintain profitability on the funded account.

For traders who fail multiple times, you could spend $1,000-$2,000+ on repeated attempts before passing or giving up. This is why proper preparation is critical.

Who Will Benefit Most

FTMO delivers the most value to:

1. Profitable traders lacking capital: If you have a proven strategy but limited funds, FTMO gives you the leverage to scale your results.
2. Risk-disciplined traders: The strict rules reward those who already trade with controlled risk and proper position sizing.
3. Traders seeking structure: The evaluation process and ongoing performance tracking help traders maintain discipline.
4. Those ready for evaluation: Traders who have practiced on demo accounts with FTMO rules and consistently passed their own tests.

If you fit this profile, FTMO offers one of the best opportunities in the prop trading space. The company’s track record, fair terms, and reliable payouts make it a solid choice for serious traders.

---

Conclusion

FTMO has established itself as one of the most reputable proprietary trading firms in the industry, offering traders access to capital ranging from $10,000 to $200,000 through a two-phase evaluation process. While the FTMO Challenge has strict rules, including 10% and 5% profit targets, maximum 5% daily loss limits, and consistency requirements that eliminate most participants, these standards ensure the firm funds genuinely skilled traders rather than lucky gamblers. The $155-$1,080 evaluation fees are refunded with your first profit withdrawal, and the 80% profit split (upgradeable to 90%) is competitive within the industry.

Real trader experiences confirm reliable payouts and professional service, though success requires proper preparation, disciplined risk management, and psychological resilience. For profitable traders with proven strategies who lack sufficient capital to maximize their edge, FTMO represents an excellent opportunity to trade with substantial funds without personal capital at risk. However, beginners should develop consistent profitability in their own trading before investing in evaluation fees. Overall, FTMO is worth your time if you’re a disciplined, risk-conscious trader ready to prove your skills under structured conditions—but skip it if you’re still learning or rely on aggressive strategies that conflict with their drawdown rules.