Also any high risk traders or traders who want to be in the rankings of any prop firm or very high skilled traders based on RRR of greater than 3:1 monthly should not consider prop firm offers as it does make more sense to just compound on your own ...

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And be sure you have a strategy with at least Sharpe Ratio of 3 as it does not make much sense to spend fees on too many attempts as there is lower limit boundary. Or based on Reward-Risk-Ratio you should in region of close 1:1 or 1:2 so that you ...

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Just be sure you do not consider prop firm offers with score less than 1 as it does not make sense. From prop firms with similar scores soft factors of course do matter.

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Feel free to post a more complete prop firm evaluation based on soft factors too. But it is more difficult as there is much more room for interpretation as it is subjective.

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You can double the upper limit boundaries for E8Funding and TrueForexFunds because they do payouts after two weeks (E8 even bit faster), to make it comparable to the other offers, where prop firms allow first payout after 1 full month of trading. ...

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The second thing you need to factor in that you are under time pressure and needs to meet a tough goal. So that pressure usually leads to higher risks thus resulting in higher chances that one will fail on his attempts. But you are right if ...

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You are doing it wrong. Your examples are by far too simple. You need to factor Euler figure as I have done it. I have already done whole work. There is nothing to add.

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BE=Breakeven Attempt means if you need more than this number as attempts to achieve a funded account status (in average), then it does not make sense to follow this prop firm challenge for the trader. If your BE Profit per payout time period, ...

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Here is the short form of it, to make the picture big greater here. But you can click on the picture to enlarge it too. image

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To make it complete I have calculated the downside limit boundary and upper limit boundary on my prop firm score table sheet. BE means Breakeven. Have fun with it. image

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No, because pass rate <100% rate does not mean you make no profits at all just does not meet the goal. Of course with free retries, then you must consider a loss also in the personal account. But that can be any number from -1% up to -100% loss. So ...

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So when your passing rate to get funded on prop firm challenges is about 50%, and I assume no one has a 100% rate here, then you must adjust the score by dividing the number by 2 then. So on FTMO with a 50% pass rate (and that is quite high) you ...

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To understand the downside limit you only need to look at the score on any prop firm offer. The score expresses the number of attempts you have (in average) before it does not make sense to do this prop firm offers. So on a 100k challenge at FTMO, ...

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For example a 20% upper limit for profits on a 10% max DD would mean, whenevery your Reward-Risk-Ratio per month is higher than 2 (=20% Profits /10% DD), then compounding on your own personal account becomes more favorable. So the profit percentage ...

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Any questions you have on the downside limit and upper limit calculations ? The factor on MFF E10 cell needs to be 1,0833 lower because of [(8%+5%)Goals/12%DD].

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Here are the formulas for the other cells on my upper limit calculation. They are shown in the pictures here below. Now can you do also your own calculations here. image image image image

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Yes, exactly.

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You need to factor in Euler figure as you get some different results here. But overall assumption is correct. You need to calculate with 2.718 when you do compounding.

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So the scores from reputable prop firms ranges from 3.2 to about ca. 7, so from FTMO to MFF. Thus the upper limit ranges too from the FTMO limit of 17.6% to MFF limit of 32.8%. So whenever a trader is doing more profits within a month he would be ...

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So whenevery you see traders in the prop firm rankings doing over 33% per month or payout time period then they should be only very lucky at this month. Otherwise it would not make sense for them than just trading their own personal accounts, ...

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