What is MyForexFunds?
Many of you traders out there heard the name of MyForexFunds and kept wondering what it is about. No worries, we got your back. Click here for a full in-depth review on MyForexFunds done by us at Prop-Trader.
MyForexFunds is a proprietary firm. If you have been in the trading scenario for a moderate amount of time then you might be familiar with the name. In this article, we will try to explain how MyForexFunds work and how it can tremendously benefit you as a trader. This will only take a minute to read but can come in handy for your entire trading journey.
If you are a trader, funding is really important. And, funding yourself can be a huge source of mental stress. Especially if you don’t have a GOOD source of income. Prop firms like MyForexFunds play a very positive role in the trading industry. MyForexFunds fund traders with their OWN money and take a very low percentage of the profits you make in return. Usually ranging from 10% to 30%. And if you end up losing money, it’s all on them. That means you can lose someone else’s money, if you lose, it’s all on them, and if you make a profit you get to keep the majority of the profits you make. Talk about a win-win situation.
Statistically, 95% of traders lose and only 5% are consistently making money. If MyForexFunds keep giving away real money to traders, they would go bankrupt shortly. In order to survive, they have few filtering processes and rules in place.
Some of the major rules are Daily Drawdown, Overall Drawdown, Consistency, etc.
These rules filter out inexperienced traders and nurture good traders and push their skills and discipline to a new height.
Depending on the skillsets of traders, MFF offers 3 types of funding models. Rapid, Evaluation and Accelerated, each of these models is well tailored to suit traders with various types of strategies. To make it easier on the traders MyForexFunds suggests which model is best suited to traders.
Rapid:
As MyForexFunds describes, this model is most suitable for traders with minimum knowledge of forex. MyForexFunds’ Rapid program has been built to develop traders while the traders keep making money parallelly trading on the demo accounts. In the Rapid program, you can choose any account size from a range of $10000 to $100000.
Since this model is designed keeping newbie traders in mind, it comes with a Consistency Rule attached (You can also choose a Non-Consistency Account). In short Consistency Rule is: you must enter a minimum of 1 trade per day for a minimum of 3 days a week. This will enable MyForexFunds to filter and assess your trading skills (while you earn money) and graduate to a trader who is serious about trading to bigger opportunities. But, make sure that you keep the standard risk management into consideration which is your average lots and trades taken in a week deviated by a factor of 2. If you fail to manage risk management or consistency in general beware that your account might get flagged as a result taking your eligibility for any payouts.
It’s a tricky rule we know, if you want further explanation let us know in the comments. Coming back, the Consistency Rule is in place because it eradicates any gambling behavior that may overcome your sense of sound judgment which is very like to happen in the Forex Trading scenario.
Some other rules are:
- 5% daily draw-down (within a day you can’t go below it)
- 12% overall drawdown
- Consistency (Not applicable to Non-Consistency Accounts)
- Minimum 3 trades in a week
Pros:
- EA is allowed, so you can automate your trading
- The consistency rule will hone your trading skill sharper
- If you don’t want consistency, then you can choose a non-consistency account
- You can earn 12% profit you make in your demo account, which makes it an instant funding model.
- You can receive up to 80% of the profits you make once you are funded. In the first month, the profit share will be 50% from Funded Accounts, 65% in the second month, and 80% from the third month onwards.
- Once you go to the live account, you will receive 100% cashback. This means, whatever you paid to subscribe to the Rapid Model, you will be paid back upon completion of the Challenge Phase
- In regular Rapid Model accounts, the payout period is every 2 weeks whereas in the non-consistency accounts the payout period is after each month.
Cons:
- The consistency Rule can be a little tricky to understand..
- You have to trade at least for 3 months in a simulated account before receiving the live account.
- You get only 10% of the balance you subscribed to in the live account.
Evaluation Model:
The Evaluation program at MyForexFunds is a two-step process in which you, as a potential Funded trader, can demonstrate your FOREX, CFD, or commodities trading abilities. This model is designed for experienced traders and is currently MyForexFunds’ most popular funding model. Evaluation trading account sizes range from $10k to $200k, with profit-split payouts occurring once a month on the first month and then bi-weekly thereafter, similar to MyForexFunds’ rapid trading accounts. You as a trader can have up to 600,000 in capital from evaluation accounts under a single identity, but only 300,000 per trading account.
There is no consistency rule involved in this model and that might be one of the reasons why this model of MyForexFunds is so popular among traders. But, there are some rules after all:
- 5% daily drawdown
- 12% overall drawdown
- Phase 1 profit target is 8%
- Phase 2 profit target is only 5%
- 5 minimum trading days
Pros:
- 12% overall drawdown is the best deal any prop firm is offering at this moment (some firms are, but they are not as reliable as MFF)
- There are no restrictions on your trading style, lot sizes used, EA or methodology.
- Upto 85% profit target;
- They are offering arguably the lowest profit target for passing phase 1
- Unlimited free retakes in phase 1 (You have to be in profit with at least $1 and not breach any rules)
- Free extension once in phase 1
- 100% subscription fee refund if you manage to get to your first withdrawal
- No restrictions on EA
- Leverage is 1:100
Cons:
- The payout percentage is dynamic, 75% during the first month, 80% in the second month, and from the third month onwards, it is going to be 85%. And after the first withdrawal, you can request a payout after every two weeks.
- Even though there are no news restrictions. But, many users complain about slippage during news time.
- Many consider their equity-based drawdown as a big red flag. But, there are some apparent advantages to it too.
Accelerated Model:
According to MyForexFunds, accelerated funding models are designed for advanced traders who trade on a professional level. If you have the money, you can still buy it, you don’t actually have to be a professional trader. With MyForexFunds’ accelerated program, you can bypass the entire evaluation process and get right into action. MyForexFunds’ Accelerated Funding Models allow you to earn rewards as soon as you enter the market. And, on top of that, Accelerated accounts have no daily drawdown at all. Isn’t that amazing?
You can choose a balance of 2,000 to 50,000 USD and scale your funds up to a maximum of 2 million USD. With My Forex Funds’ Accelerated program, professional traders can skip the line and start trading real funds right away, grow quickly with compounding rewards and reap the benefits of being a professional trader.
There are two types of Accelerated Accounts, 1. Conventional & 2. Emphatic. The varying factor between these two types are Conventional accounts have a lower leverage while also having a lower percentage of overall drawdown. Conventional accounts are built for traders that mostly take swing trades, so the accounts are a little underleveraged for the leniency towards traders. On the contrary, Emphatic accounts are more suited to aggressive traders that look for quick opportunities, therefore, executing a bigger lot size to generate the same profit a swing trader would have made over a longer period of time. And, Emphatic accounts have an overall drawdown of 10% which makes Emphatic accounts superior to conventional accounts on paper.
But, the catch here is many people will still choose Conventional over Emphatic as the risk factors vary drastically because of the leverage each of these account types offer.
As usual, this model also has some rules tagged along with it to keep traders in shape and those are:
- 10% max drawdown (Emphatic)
- 5% max drawdown (Conventional)
- Not allowed to hold trades over the weekend
- No EA allowed (Excluding Copiers)
Pros:
- By default, you can be eligible for a payout each week.
- You can even be eligible for a daily payout if you impress the analyst at MyForexFunds through your trading skills. (This is reviewed by MyForexFunds and given only to a trader/day)
- Your account will scale up by X2 or 1.5 after you make 20% profit in Emphatic accounts. And in Conventional accounts, your account will grow by 10% after you make 20% gains in your account. You can enjoy this scalability up to 2.2 Million And you will be eligible for such scalability on each pay period.
Cons:
- Low leverage on Conventional accounts.
- The cost of buying one Conventional account is already higher by several folds if compared to the Evaluation model. And, buying Emphatic accounts can make you go broke. Literally.
- Low daily limit of 5% in the Conventional accounts.
- No EA is allowed in the overall Accelerated Model.
- Can’t hold trades over the weekend.
With all these Funding Models, MyForexFunds has left no room for innovation. When it comes to prop trading, there are only a few names in the industry that are as reliable as MyForexFunds. On top of that, MyForexFunds offer a wide range of Payout methods like Cryptocurrency or DEEL, If you wish to receive your payout in Cryptocurrency, then you can receive BTC, LTC, ETH, or with Deel, you will be able to request your payouts with Wise, Paypal, Bank transfer, Payoneer, Revolut, Mercury, etc.
They have an amazing customer service system established, which is not very fast but reliable to tell the least. And they have a great Discord server which is a must checkout if you are a little GEEKY.
We have almost wrapped it up! Let us know in the comments which prop firm you want to be reviewed next or you can be a little more specific and let us know what exactly you want us to cover.
