Funding Pips is a prop firm that has paid out over $180 million to traders across the world. But prop firms are risky and most traders who take challenges lose money. So in this Funding Pips review I’ll explain all the rules, details, and tools that you need to understand, so that you can decide if Funding Pips is the prop firm for you. I’ll also provide proof of my payouts, as well as earnings from the rest of the community.
Funding Pips Discount Code
If you’d like to join FundingPips, make sure to use my link for a discount off your first purchase.
You can find more deals on my prop firm discounts page.
Funding Pips Prop Firm Details
Funding Pips was founded in Dubai in 2022. Since then it has gained over 35k reviews on Trustpilot, with a 4.5 rating. The owner Khaled is active on socials, see his twitter and Instagram here.
Funding Pips Challenges
Funding Pips offers 4 different challenges:
- Zero instant funding
- A 1-Step challenge
- A 2-Step challenge
- A 2-Step Pro challenge
All have no time limits.
Zero Challenge
Let’s start with the FundingPips zero account, costing from $69 to $499.
| Challenge Size | $5k | $10k | $25k | $50k | $100k |
| Price | $69 | $99 | $199 | $299 | $499 |
This is instant funding, meaning you immediately start trading a funded account where you can earn profit splits. This has 5% trailing maximum drawdown, and 3% daily drawdown limits.
The maximum trailing drawdown is equity based, and becomes locked at the initial account size once 5% profit is reached.
This type of trailing drawdown is much worse for traders than static drawdown, but is understandable for an instant funding account. The main issue with the FundingPips zero account is the complex rules for being able to request a payout. The profit split is 95%, which can be requested every 14 calendar days. But only if you follow the consistency score, have a 3% safety cushion, and your biggest loss does not exceed the biggest win.
Let’s first look at the consistency score. You must achieve a 15% consistency score and have at least 7 profitable days, where a day is counted as profitable if the profit is at least 0.25% of the initial account size. The consistency score is the size of your biggest win in comparison to your current total account profit. So the maximum profit you can earn in one day is 15% of your total profit. In other words, your consistency score must be 15% or below. This means that while 7 profitable days is the minimum needed to request a payout, it will likely take you more profitable days before you satisfy the consistency rule.
Now to the Safety Cushion. The first 3% profit generated on the Master account cannot be requested as a reward. As the minimum reward amount is 1% of the initial balance, this means you need to make 4% profit before requesting a payout.
The other key rule is that you must have at least 7 minimum profitable days over each 30 day period, with the first period starting on the day you take your first trade. If you fail to do so, you will lose the account. Also the 1% Maximum Risk Limit means your floating profit and loss must not exceed 1% of the account size.
The combination of all these rules means that the FundingPips zero account is only suitable for trading strategies that take trades almost every day, and have very similar profit targets for each trade. Otherwise violating the minimum profitable days rule becomes a risk, and reaching the consistency rule will take a long time.
1-Step Challenge
Now let’s look at the FundingPips 1-Step Challenge, costing from $59 to $555.
| Challenge Size | $5k | $10k | $25k | $50k | $100k |
| Price | $59 | $99 | $199 | $319 | $555 |
This has a 10% profit target, with static 6% maximum loss, and a 3% daily loss limit. The challenge stage also requires 3 minimum trading days to pass.
Once you reach the funded account, you must choose your Reward Cycle frequency, which affects the reward split and rules for the account. Tuesday payday offers weekly withdrawals, with a 60% reward split. Bi-weekly withdrawals offer an 80% reward split, and Monthly withdrawals offer an 100% reward split. On demand rewards is the final option, offering a 90% reward split, but requiring a 35% consistency score, and a minimum reward amount of 2% of the initial account balance. Meanwhile the other withdrawal frequencies have no consistency rules, and minimum reward amount of 1% of the initial account balance.
The funded master account also has a 3% maximum loss per trade rule. If this is breached, the account is lost. Be aware that this includes splitting a trade into multiple positions, and opening a new position in the same direction within 5 minutes after closing a losing trade. This maximum loss per trade rule does not apply during the challenge stage.
2-Step Challenge
Now onto the regular 2-Step challenge, costing from $36 to $529.
| Challenge Size | $5k | $10k | $25k | $50k | $100k |
| Price | $36 | $66 | $156 | $289 | $529 |
It has profit targets of 8%, and 5%, each requiring 3 minimum trading days, with 10% static maximum drawdown and 5% daily drawdown.
There is also the option to increase the Phase 1 profit target to 10%, for a reduced challenge price. I personally wouldn’t recommend increasing the profit target, because the discount is not significant, but an extra 2% profit target makes the challenge much harder.
Once you pass the 2-Step funded account has the same reward cycle options, and 3% maximum loss per trade rule.
2-Step Pro Challenge
The 2-Step pro challenge costs from $29 to $399.
| Challenge Size | $5k | $10k | $25k | $50k | $100k |
| Price | $29 | $55 | $109 | $219 | $399 |
It has 6% profit targets in both phases, with 6% static maximum loss and 3% daily loss limits. Each phase has only 1 minimum trading day.
On the funded account, you have the option between weekly payouts with an 80% reward split, or daily payouts with the same split but also a 35% consistency requirement.
Regular vs Pro 2-Step
The 2-Step Pro challenge is cheaper than the 2-step regular, but the regular challenge is significantly better. So much so that I’d argue there’s no reason anyone should choose the Pro over the regular 2-step.
This is because the pro has a lower 6% maximum drawdown. Max drawdown is one of the most important parameters for a prop firm. It determines the true backing, which is the maximum amount of money a trader can lose before they lose their account. For example, an 100k funded trader doesn’t really have 100k in backing, they only have $10k to work with if maximum drawdown is 10%.
This is the case with the Funding Pips regular 2-step. Meanwhile the 2-Step Pro has 6% max drawdown, meaning $6k true backing on an $100k account. So if we compare the true backing per dollar of evaluation fee, the 2-step regular is actually better value, despite the higher price.
That’s not all. Lower maximum drawdown also makes the pro challenge harder to pass. Each phase has 6% maximum drawdown and a 6% profit target, which is a drawdown to profit target ratio of 1:1. Meaning each phase requires a 100% true return to pass. Meanwhile the regular 2-step has ratios of 1:0.8 and 1:0.5, meaning 80% and 50% true returns to pass.
All this means that the pro challenge is both harder to pass, and worse value for money than the regular 2-step. The only benefits it has are the lower minimum trading days, and the option for weekly 80% reward split withdrawals, compared to the regular bi-weekly 80% reward split withdrawals. These are negligible benefits, and definitely don’t make up for the Pro challenge’s disadvantage.
So why does this challenge even exist? It’s because the lower phase 1 profit target, and cheaper price look attractive to traders that don’t consider the lower maximum drawdown. But now I have explained the disadvantages, you won’t get caught out by challenges like this, so consider subscribing if you found that helpful.
Daily Drawdown
All FundingPips accounts have a daily drawdown limit that works the same. The calculation takes place at midnight Platform time, which is GMT+2. At this point, daily drawdown is calculated using either equity and balance, whichever is higher. Equity cannot fall lower than the daily drawdown limit for the next 24 hours, or the account is breached. Then the next platform day starts, daily drawdown is recalculated, and the cycle continues. At any point your maximum daily loss is easily shown on the Funding Pips dashboard, with a countdown timer until it resets.
Trading Restrictrions
News and Weekend trading depends on the account type and selected reward cycle. Funding Pips uses the Forex Factory news calendar to determine high-impact news events. Firstly, on the FundingPips zero account, holding trades over the weekend or within 10 minutes of high impact news event is not allowed, and will result in account termination.
For 1 Step, 2 Step & 2 Step Pro accounts there are no restrictions on holding trades during news events or over the weekend during the evaluation stage. And holding trades over the weekend is allowed in all stages. For the 1 Step and 2 Step models, traders who choose the On Demand reward cycle are allowed to trade during news on their funded account without any restrictions. But all other 1 Step, 2 Step & 2 Step Pro funded accounts, profits from trades that are opened or closed within 5 minutes of a high impact news event or speech on affected currencies will not be counted on unless the trade was executed 5 hours before the news event.
During news speeches, the restricted window extends from 5 minutes before the speech begins until 5 minutes after the speech concludes, with the same logic for the 10 minutes FundingPips zero account buffer.
Additional Rules
Another key rule to keep in mind is the inactivity rule. On all accounts, you must open and close a trade at least once every 30 days, or the account will be terminated. Also, you must trade your account on a consistent IP address, or you may have to provide proof of travelling. Sometimes after passing your evaluation, you may need to take an interview with the Funding Pips team to prove you traded your own account. This is just to prevent fraud, and you won’t have any issues if you have not broken any rules.
Allocation & Scaling
Funding Pips offers an initial maximum allocation of $300k, with a scaling plan up to $2m. The first level of scaling is achieved after at least 4 payouts, and 10% total profit. This increases your account size by 20%, and adds an additional 1% to your maximum drawdown limit. The second scale up stage continues these benefits, and also increases daily drawdown. The third increases account size and maximum drawdown again. The final stage is called Hot Seat, which is achieved after 16 payouts and 40% total profit earned. This increases your account size to double the initial balance, increases maximum drawdown and daily drawdown, gives on demand 100% payouts, and pays a monthly bonus. The Hot Seat level also offers further scaling up to $2m, giving traders with better risk-adjusted returns more capital.
Trading Competitions
Funding Pips also offers free monthly trading competitions, with cash and prop firm evaluation prizes. Up to 50,000 traders can participate each month, being given demo trading accounts with 10% maximum drawdown, and 5% daily drawdown. The traders who earn the highest returns earn prizes.
Trading Platforms & Conditions
Funding Pips offers 3 trading platforms: Metatrader, cTrader and Match Trader. However, US residents can’t use Metatrader or cTrader, and Canadian residents can’t use Metatrader. Funding Pips offers a well designed account dashboard, where all key stats can be found.
The firm offers tight spreads, and up to 1:100 leverage, depending on account type and trading instrument. Trading Indices and Oil is commission-free. The 1-step, 2-step and 2-step pro accounts have $5 commission per lot on forex and metals, while the zero account has $7 commission per lot.
Trading conditions are ok, some traders report dealing with high slippage, so scalping traders may find this to be an issue, but for my larger stop loss trades it was not impactful.
Funding Pips Payouts
Funding Pips offers payouts through Rise, Cryptocurrency and bank transfer. Requesting a payout is a simple process through the dashboard. I received my payout quickly, with no issues.
The firm has paid out over $170m to traders, with payments being verifiable on the Rise blockchain. In the past 30 days, Funding Pips paid out over $11 million.
Funding Pips Review Conclusion
In conclusion, Funding Pips is a well established prop firm that has fair challenges and pays out. Its consistency rules may be an issue, but are avoidable by choosing alternative reward cycles on all challenges apart from the zero account. The trailing drawdown, consistency rule, activity rule, and strict news trading rule on the zero account mean I wouldn’t recommend it. I think the best challenge account is the 8% profit target regular 2-step challenge because of its static drawdown and easier profit target.
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