Funding Pips rules enforce a 3% to 10% maximum drawdown limit in 2-step accounts and require traders to avoid high-risk trading strategies such as High Frequency Trading (HFT), Arbitrage, Tick scalping strategy, toxic order flow, and all-or-nothing trading.
The platform allows traders to hold trades during the weekend and use VPN or VPS services if they provide valid reasons.
Funding Pips Rules
A set of rules has been established by Funding Pips Prop Firm for traders. Key areas of Funding Pips policies:
- Challenge Rules
- Weekend Trading
- VPS/VPN Usage
- Expert Advisors (EAs)
- Prohibited Trading Strategies
Funding Pips Challenges Trading Conditions
The Funding Pips prop firm has established various trading conditions for traders who participate in their challenges, aiming to encourage safe trading practices and identify traders with profitable strategies.
Challenge Type | Zero | 1-Step | 2-Step Funding Pips | 2-Step Funding Pips Pro |
Profit Target Step 1 | - | 10% | 8% | 6% |
Profit Target Step 2 | - | - | 5% | 6% |
Maximum Daily Darwdown | 3% | 3% | 5% | 3% |
Maximum Overall Drawdown | 5% | 6% | 10% | 6% |
As mentioned in the table above, the profit targets in Funding Pips 2-Step Pro challenges are 6% for both phases.
Holding Trades Over the Weekend and News Rules
Funding Pips permits holding trades over the weekend and during news events with specific conditions:
- During the Evaluation stage, there are no restrictions on holding trades over the weekend or during news events, but intentional news trading is prohibited;
- In the Master account, holding trades during news events and over the weekend is permitted. However, profits from trades opened or closed within 5 minutes before or after a high-impact news event will not be counted unless they were executed at least 5 hours prior;
- In the Funding Pips Zero account, holding trades during weekends or news events is not permitted, and any violations will result in account termination.
Funding Pips Using a VPS or VPN for Trading
Based on the data we found for this Funding Pips tutorial, this prop firm allows the use of a VPS or VPN during both the Evaluation Phase and the Master Account. If a change in IP address region is detected, the Risk Team will contact the trader for confirmation. Traders may be asked to provide proof, such as:
- A plane ticket or boarding pass showing travel details
- A passport stamp indicating entry into the new region
- A live video demonstrating presence at the new location
Additionally, traders may need to provide proof of VPS/VPN ownership, such as an invoice or a static IP address, to be whitelisted. This process ensures account security and authorized access.
Funding Pips EAs Rules
Funding Pips allows the use of third-party Expert Advisors (EAs) only if they function as a trade or risk management tool. Using any other third-party EAs is prohibited and will result in the denial of evaluation or reward, as well as potential account closure.
Funding Pips Prohibited Strategies
Funding Pips does not permit certain high-risk or market manipulation strategies. The following strategies are forbidden:
- Gap trading
- High-frequency trading (HFT)
- Server spamming
- Latency arbitrage trading
- Toxic trading flow
- Hedging
- Long-short arbitrage
- Reverse arbitrage
- Tick scalping
- Server execution
- Opposite account trading
Toxic Trading includes behaviors like excessive risk-taking, gambling, overtrading, and poor money management. It also involves high-frequency and arbitrage strategies, such as hedge and latency arbitrage, which exploit market inefficiencies without a sound trading strategy. These practices jeopardize individual accounts and the firm’s stability.
Funding Pips Rules vs Other Prop Firms
The table below provides a comparison of the trading policies in Funding Pips and 3 other prop firms to allow you to see how strict their rules are.
Prop Firm | Funding Pips Prop Firm | |||
VPN/VPS Usage | Allowed | Allowed | Allowed | Prohibited |
EA Usage | Allowed | Prohibited | Allowed | Allowed |
News Trading | Prohibited | Allowed | Allowed | Prohibited |
Group Trading | Prohibited | Prohibited | Prohibited | Not Specified |
All-or-nothing Trading | Prohibited | Prohibited | Prohibited | Prohibited |
Conclusion and Final Words
Funding Pips Master account rules require traders to also provide proof of certain requirements, such as a static IP address, in the event of an IP address change.
Violations such as HFT, server spamming, and latency arbitrage are strictly prohibited.
Now that you are completely familiar with the trading conditions in this prop firm, you can create an account by following the steps in the Funding Pips registration guide and choosing an evaluation challenge based on your trading goals.
