Three Types of Drawdown
Drawdown determines the minimum balance you must maintain in your trading account to keep it active.
Traders enrolled in the Trader Career Path® will encounter three types of drawdown at various stages of their trading journey. Traders enrolled in the Gauntlet Mini™ will encounter two types of drawdown at various stages of their trading journey.
End-of-Day Drawdown - Calculates and updates your minimum balance based on closed positions at the end of each trading day. It is used in all evaluation accounts and funded LiveSim® accounts.
Trailing Drawdown - Calculates and updates your minimum balance continuously, based on both open and closed positions throughout the trading day. It is used in Live accounts.
Fixed Drawdown - Sets the minimum balance at a fixed level that never changes. It applies upon reaching the largest funded trading account in the selected Trader Career Path® plan: $200,000 for the TCP25, with the minimum balance fixed at $194,000, and $400,000 for the TCP50 and TCP100, with the minimum balance fixed at $388,000.
Notes:
For traders who choose a LiveSim® account after passing the Trader Career Path® evaluation, LiveSim® is only available until they reach the profit target designated for their account size and withdraw their 80% share. After that, they must scale up to the next Live account size.
For traders who choose a LiveSim® account after passing the Gauntlet Mini™ evaluation, LiveSim® is only available until they make their first $5,000 (minus the 20% profit split). After that, they must switch to a Live account.
While the End-of-Day Drawdown is updated at the end of each trading day, traders can still lose their evaluation or funded trading account if their open equity falls below the minimum balance in real time.