Prop firm glossary
Paying before you understand the rules just piles up reset fees. Every term used in our rankings, defined.
A max loss line that trails your account's highest balance
The point where the TMDD breach line stops trailing upward — and it lands in different places at different firms
Is drawdown measured tick by tick, or only at the close?
When a limit says "6 contracts," is that mini or micro futures? Almost always 1 mini = 10 micro
The most you may lose in a single day
Breaking the rule doesn't kill the account — trading just pauses for the rest of the day
No single day may carry too much of your profit
The minimum number of days you must trade to pass — not a guarantee you can pass in one
Restricts trading around high-impact news releases — some firms have it, most don't
The simulated capital account you get after passing
What it costs to open the funded account after passing
What it costs to restart a breached evaluation
Is the evaluation price a one-time charge, or a monthly subscription that keeps billing until you pass?
The most you can withdraw per payout
The smallest amount you're allowed to request per withdrawal — a different number from the cap or the buffer
The share of profit the trader keeps at payout
Start on a funded account with no evaluation
The cushion you must build before you can withdraw
A program that grows your account size vs. a DLL that shrinks as your balance grows — same word, opposite meaning
Moving up from simulation to a real broker account
Submitting proof of an account purchase for approval on PropPick — our own data filling the gap while the payout-review database is still empty