General Concepts

The simulated capital amount of a prop firm evaluation or funded account — typically $25K, $50K, $100K, $150K, $200K, or $300K, with proportional position-size limits and profit targets.

A grouped order combining an entry order with two protective exit orders (target and stop loss) — the entry triggers the bracket; once filled, target and stop become active as an OCO pair.

The simulated trading account a trader uses to demonstrate skill and risk management before being granted access to a funded prop firm account.

A trading account capitalized by a prop firm — usually after evaluation — where the trader executes real strategies and receives payouts under firm-defined rules.

A prop firm program structure that grants the trader a funded account immediately upon purchase, skipping the traditional simulated evaluation phase entirely.

An evaluation structure with a single qualifying phase — pass the profit target without breaching rules and you go directly to a funded account.

A structured evaluation program — usually with profit targets, drawdown limits, and trading rules — that traders must complete to qualify for a funded account.

A prop firm program structure that automatically increases account size, position-size limits, or profit splits as the trader hits performance milestones (cumulative payouts, sustained profitability).

A funded prop firm account that runs on simulated capital rather than live exchange-cleared positions — the dominant model in the futures prop firm industry.

A legacy evaluation structure with two distinct qualifying phases — pass Phase 1 (typically the harder target), then pass Phase 2 (lower target with longer time horizon) before reaching the funded stage.

The second qualifying phase in a two-step evaluation, designed to prove that a trader's Phase 1 success is repeatable rather than a single lucky run.