There are some rules that you need to follow in order to show us you are a consistent trader. They are there for your and our protection. Go to THIS LINK to find out more.
Maximum Daily Loss
Your equity must not exceed or match your maximum balance of the day minus the account margin. Each day is considered to start from midnight (CET).
The Maximum Daily Loss is selected at checkout. Failure to adhere to this rule will result in the closure of your account.
Account Max Daily Loss:
Account Initial Balance | 5,000 | 10,000 | 25,000 | 50,000 | 100,000 | 200,000 |
Daily Loss 5% | 250 | 500 | 1,250 | 2,500 | 5,000 | 10,000 |
Daily Loss 4% | 200 | 400 | 1,000 | 2,000 | 4,000 | 8,000 |
Daily Loss 3% | 150 | 300 | 750 | 1,500 | 3,000 | 6,000 |
Maximum Overall Loss
Your equity or account balance must never drop below the maximum total drawdown limit for the selected account.
Account Initial Balance | 5,000 | 10,000 | 25,000 | 50,000 | 100,000 | 200,000 |
Max Loss 10% | 500 | 1,000 | 2,500 | 5,000 | 10,000 | 20,000 |
Max Loss 8% | 400 | 800 | 2,000 | 4,000 | 8,000 | 16,000 |
Max Loss 6% | 300 | 600 | 1,500 | 3,000 | 6,000 | 12,000 |
Failure to adhere to this rule will result in the closure of your account.
Example 1: You have a reference balance of 100K account. Your Maximum Overall Loss is a fixed 8% and your Maximum Daily Loss is 4%. Your Maximum Overall Loss is $92,000.
Example 2: You have a reference balance of 105K account. Your Maximum Overall Loss is a fixed 8% and your Maximum Daily Loss is 4%. Your Maximum Overall Loss is $97,000.
Trader Value Rule
The Trader Value Score is a measure of your consistency.
The Trader Value Score cannot be equal to or higher than the selected account Max Trader Value Score.
The Trader Value Score (TVS) can be calculated as the total profit of your best day divided by the total PnL of your reference period.
The value of the Max TVS depends on the model selected at checkout.
Having a high TVS will NOT result in the closure of the account.
Example:
The account balance at the start of your trading period (after the first deposit or after a payout) is $154,000.
After 13 days of trading, the account balance has increased to $164,132, with a PnL of $10,132.
During this period, the best trading day had a profit of $3,200. The TVS is 3,200/10,132 = 31,6%.
If the following day, the trader closes the day with a profit of $2,000, the new TVS is 3,200/12,132= 26,4%
1. What are the main trading rules at OFP Funding?
A: The main trading rules at OFP Funding include adhering to drawdown limits, maintaining a healthy Trader Value Score (TVS), avoiding prohibited strategies like martingale and hedging, and following the guidelines for news trading.
2. What is the Trader Value Score (TVS), and why is it important?
A: The TVS is a metric used to measure a trader’s consistency and discipline. It is crucial because maintaining a good TVS is necessary to qualify for payouts and continue trading on the platform.
3. Are there any prohibited trading strategies at OFP Funding?
A: Yes, certain strategies such as martingale, hedging, grid trading, HFT, Gambling, Copy Trading, latency arbitrage, and news straddling are prohibited. These strategies can distort true trading performance and lead to account violations.
4. What happens if I violate a trading rule?
A: If you violate a trading rule, your account may receive a warning, incur penalties, or in severe cases, be suspended. It's important to understand all rules to avoid these consequences.
5. How is the Daily Drawdown calculated?
A: The Daily Drawdown is calculated in this way: Your equity must not exceed or match your maximum balance of the day minus the account margin. Each day is considered to start from midnight (CET).
6. What is the Maximum Drawdown, and how does it work?
A: The Maximum Drawdown is calculated this way: Your equity or account balance must never drop below the maximum total drawdown limit for the selected account. It serves as a risk management measure to prevent significant losses.
7. Is news trading allowed at OFP Funding?
A: News trading is allowed, but certain strategies that exploit market volatility in unrealistic ways, such as news straddling, are prohibited. Be sure to understand the specific rules to avoid violations. Trading on news is banned in the window 2 minutes before and 2 minutes after high-impact news, take a look at the trading calendar in the dashboard.
8. Are there limits on the lot sizes I can use?
A: No, OFP Funding does not have limits on lot size use.
9. Can I hold trades overnight or over the weekend?
A: Yes, you can hold trades overnight or over the weekend. However, you should be aware of the risks associated with market gaps and increased volatility during these periods.
10. What is considered a hedging strategy, and why is it prohibited?
A: Hedging, which involves opening opposing positions on the same asset, undermines fair trading and disrupts the integrity of our platform. It is prohibited because it can distort true trading performance and risk management.
11. How do I avoid triggering the martingale rule?
A: To avoid triggering the martingale rule, ensure that you are not increasing your trade size after a loss in an attempt to recover it. Consistency in your trade sizes and risk management is key.
12. Are there any restrictions on trade duration?
A: While there is no strict minimum or maximum trade duration, trades should be executed in a manner consistent with responsible trading practices.
13. What should I do if I receive a violation notice?
A: If you receive a violation notice, review the details in your client dashboard to understand the rule that was breached. If you believe it was a mistake, contact support for clarification.
14. Can I appeal a violation decision?
A: Yes, if you believe a violation was issued in error, you can contact OFP Funding’s support team to review the situation. They will investigate and determine if the violation can be reversed.
15. What happens if I accidentally violate a rule?
A: Accidental violations are treated the same as intentional ones. It’s essential to familiarize yourself with all trading rules to avoid accidental breaches. If you do violate a rule, take immediate corrective action to prevent further issues.