Best Prop Trading Firms 2023 - What’s The Best Option? - The European Business Review (2024)

What Are Prop Trading Firms?

Prop trading firms are financial firms, or commercial banks, that offer professional traders the chance to make trades using the company’s capital. With prop trading firms, you can access higher leverage, and most include advanced research tools; it’s in the prop trading firm’s best interest that you succeed as a trader.

Qualifying for prop trading firms can be difficult, as most have stringent protocols and challenges, but if you have some experience trading, it shouldn’t be too difficult. How much you can earn depends on how good you are, but a good starting point for profit splits is around 80%-90%. In this summary, we review the best options – for a more detailed comparison, check out our complete list of the best prop trading firms.

1. Topstep Trader

Headquartered in Chicago, Topstep Trader is one of the largest prop trading firms worldwide, with over ten years of experience and an excellent rating of 4.6 on Trustpilot. Since 2020, Topstep has paid over $7.9 million and funded thousands of traders.

Topstep funds 600+ new traders monthly and offer the best profit splits out of all the prop trading firms we’ve reviewed. With Topstep, you get to keep 100% of the first $5,000 in profits you make – after that, you keep 90% of everything you make, with no limits.

For beginners, the Topstep evaluation process – the Trading Combine – can be complex, but considering you can get funded in as little as eight days, it’s worth it. After you pass the Trading Combine, you’ll get your funded account in two days.

Pros

• Keep the first $5k you make in profits
• 90% profit split after your first $5k
• Finish the challenge and get your funded account in 8 days
• Comprehensive educational resources and coaching
• Choose the account size that fits your goals ($50k-$150k)
• Get a bonus after your first payout

Cons

• To claim payouts, you need at least five ‘winning days’
• Trading experience is highly recommended

Pricing

• Topstep Account Size ($50k, $100k, or $150k): $165, $325, or $375 per month, respectively

2. OneUp Trader

Launched in 2017, OneUp Trader is a prop trading firm focusing on forex and futures trading – including equity, interest rate, currency, metal futures, and more. OneUp Trader has the shortest approval time, starting at just five days for the Express Funding account or 15 days for regular accounts.

With OneUp Trader, you get to keep the first $10k you make in profits and up to 90% of the profit split after that. Something we like about OneUp Trader is the Private Community, accessible only to funded traders, where you can discuss ideas and share your strategies.

After you subscribe to any of OneUp Trader-funded accounts, you’ll have full access to a NinjaTrader license – unheard of in this kind of prop trading platform – with real-time market data, advanced analytics, and detailed trade analysis – at no additional cost.

Pros

• 90% starting profit split
• Keep 100% of the first $10k you make
• Complimentary NinjaTrader license
• Access to real-time market data & advanced analytics
• Complete the challenge and get your funded account in 5 days
• Educational resources for beginners
• 7/5 score on Trustpilot
• 7-day free trial

Cons

• Only supports forex and futures contracts

Pricing

• OneUp Trader Account Size ($25k, $50k, 100k, or $150k): $125, $150, $300, and $350 per month, respectively

3. FTMO

Launched in 2014, FTMO is a forex prop trading firm and, by far, the largest and most recognized in this list. FTMO has funded traders from 180+ countries worldwide, and their starting 80% profit split makes it an excellent alternative to our top recommendation Topstep.

With FTMO, you can trade forex, stocks, and crypto with up to 1:100 leverage – with no limits. If you sign up for the FTMO scaling plan, you can earn up to 90% of the profit split, but keep in mind that, as with any trading, returns are not guaranteed.

One downside of FTMO is how long it takes to get your funded account. It can take anywhere from 30 to 90 days; however, they’re very generous in offering extensions and free retrials if you don’t reach the target goals – which is very rare for this type of trading platform.

Pros

• Keep 80% of the profits you make
• Scaling plan to keep 90% of the profit split
• Open to traders worldwide
• Supports forex majors & minors, stocks, crypto, and more
• 1:100 leverage with no limits
• Pass the FTMO Challenge and get a refund on your subscription
• Excellent 4.9 rating on Trustpilot

Cons

• Up to 30-90 days to get a funded account
• The starting profit split is just 80%

Pricing

• FTMO Account Size ($10k, $25k, $50k, and $100k): €155, €250, €345, and €540, respectively

Conclusion

For intermediate and professional investors, prop trading firms can boost your profits considerably. One of the main benefits is that you’ll have access to higher leverage. The best funded stock trading accounts offer advanced research tools and make it easy for you as a trader to succeed. If you think you have what it takes, we recommend trying out any of these platforms.

FAQs

Are Prop Trading Firms Worth It?

Yes – for the right trader, prop trading firms can be extremely profitable. Most prop trading firms offer a salary – on top of your profit share – to traders who can turn in consistent profits, and the best prop firms have excellent reviews. Another significant benefit of prop trading firms is that you can trade with leverage and make large profits on trades you’re confident about.

Is It Hard To Get Into Prop Trading?

For absolute beginners, prop trading can be very difficult. If you are an intermediate or experienced trader, however, you’ll notice that it’s not much different than trading on your own – with stricter guidelines and rules. These guidelines will help you become a better trader and take a more objective approach to investing.