What is the Maximum Total Loss?

1-Step Challenge/Instant Funding:

The total permissible loss on your account is capped at 6%.

For instance, if you are trading with an initial account balance of $100,000:

– The maximum allowable total loss is calculated as 6% of your initial balance, equating to $6,000.

– Therefore, including any unrealized or floating positions, your account equity must not fall below $94,000.

1-Step Prime Challenge:

In the 1-Step Prime Challenge, the Maximum Total Loss is 6% and is calculated as a trailing drawdown based on the highest balance your account has achieved. This means that the loss limit is not fixed to your starting balance only, but instead adjusts upward whenever you reach a new peak balance. 

Example 1: 

Initial account balance: $100,000 

6% of $100,000 = $6,000

At the beginning:

Your account must not fall below $94,000.

Example 2:

You grow your account from $100,000 to $105,000.

Now the drawdown recalculates:

6% of $105,000 = $6,300

Your new minimum equity level becomes:

$105,000 − $6,300 = $98,700

2-Step Challenge:

The total permissible loss on your account is capped at 10%.

For instance, if you are trading with an initial account balance of $100,000:

– The maximum allowable total loss is calculated as 10% of your initial balance, equating to $10,000.

– Therefore, including any unrealized or floating positions, your account equity must not fall below $90,000.

Updated on: 26/03/2026