A trading challenge is what the prop-firm industry calls its evaluation contest. The structure: pay a fee, trade a demo account against fixed performance targets (e.g. hit 10% profit, never exceed 5% drawdown, in 30 days), and if you pass you graduate to a funded account with profit share. The challenge fee is your only downside — no further capital at risk.
Major trading challenge providers: FTMO Challenge (the original, since 2015), FundedNext Stellar Challenge, Topstep Trading Combine (futures), Apex Trader Funding, The5ers, and dozens of mid-tier and newer entrants. Pass rates vary 5-20% depending on the specific challenge rules and risk parameters.
Distinct from trading championships (prestige circuits) and from crypto-exchange trading tournaments (cash-prize leaderboards). The challenge format is its own asset class for retail trader careers.
No trading challenges live right now. See our prop-firm-evaluation explainer for the format details.
What is a trading challenge?
A prop firm evaluation contest. Pay a fee (typically $100-$2,000), trade a demo account against fixed performance targets in a fixed window, and if you pass you receive a funded account with profit share. The challenge fee is your only downside. Prop firms run challenges continuously, year-round.
How is a trading challenge different from a trading tournament?
A tournament is a competition against other traders on a leaderboard — the prize is cash. A challenge is a competition against fixed targets — the 'prize' is access to a funded account. Different incentives: tournaments reward variance (highest ROI wins); challenges reward consistency (steady passing of targets).
Which trading challenge has the best payout track record?
Track records vary year-to-year. FTMO has the longest history (since 2015) and the deepest public payout records. Topstep has the strongest futures-trader payout reputation. Newer firms vary — read our /articles/top-prop-firms-by-payout-track-record for the current evaluation.
Can I enter multiple trading challenges at once?
Yes. Most prop firms have no limit on concurrent challenge accounts per trader. Some traders run 3-10 challenges simultaneously with different strategies to maximize probability of at least one passing. The total downside is the sum of challenge fees; the upside is multiple funded accounts.
Is a trading challenge the same as MyForexFunds-style firms?
Structurally yes — fixed targets, fee-funded, pass/fail. MyForexFunds itself was shut down by the CFTC in September 2023 for misrepresenting how it operated, so the brand isn't a current option. Use established firms with documented payout history (FTMO, FundedNext, Topstep, Apex) for trading-challenge participation today.