Learn 2 Trade: Funded Forex Accounts

Learn 2 Trade: Funded Forex Accounts

Looking for a Funded Forex Account? it’s no secret that trading is risky business, especially for inexperienced investors. This is also the case for seasoned traders with low capital.

When it comes to forex trading, in particular, it is renowned for being somewhat more challenging to predict than say – stocks. This is because there is a lot more in the way of deciding factors when it comes to the valuation of an FX pair – such as geopolitical unrest, other capital markets and public debt.

What if we told you that you could buy and sell currencies on the foreign exchange market – without risking your own hard-earned capital? Well, you can, by opening a forex funded account with Learn 2 Trade.

If you are still unsure about what a forex funded account is, then stay right where you are. We are going to cover everything you need to know about the Learn 2 Trade forex funded trading accounts, including how to sign up for an evaluation, general guidelines and account levels on offer.

What is a Forex Funded Account?

In a nutshell, forex funded accounts enable traders to grow their trading accounts – crucially, without risking their own money. We want to empower you and give you the opportunity to create a consistent, full-time income from forex trading. Small budget? No problem.

By opening a forex funded trading account, you will be trading on behalf of Learn 2 Trade, using our corporate licence and a higher capital balance then you might have otherwise had access to.

Essentially, if you don’t make any money – neither do we. With this in mind, it is very much in our interest to make sure you have all of the tools and help necessary to increase your forex trading profitability –  in a stable manner.

We think that everyone deserves a chance at forex trading success. With that in mind, we are looking for dedicated, organised and high performing traders to join our forex funded program.

Test your skills as a forex trader and work your way up the growth levels by reaching the targets set out for you. In turn, we will add more funding to your trading account.

Forex Funding Account Stages

Let’s delve into forex funded accounts in some more detail, starting with the stages of evaluation and becomming a portfolio account manager. 

The Evaluation Stage

This is the first phase of partaking in a Learn 2 Trade forex funded account. You will be tested on your trading abilities – which we will cover in more detail shortly.

Once you have proven yourself as a successful trader – whilst following rules and tasks set out for you, your account will be upgraded accordingly. 

The Portfolio Manager Stage

As soon as you have met all of the requirements stipulated in the evaluation stage, you will be upgraded to a portfolio manager account. When you get to this phase you are classed as a competent and fully qualified investor.

It is at this stage our team at Learn 2 Trade will get in touch with you – providing you with the details required to invest using our company capital for your trades.

Learn 2 Trade Forex Funded Account Guidelines

Let’s run through the Learn 2 Trade guidelines to clear the mist on the key metrics of a forex funded account.

50/50 Profit Split

From the moment you open a forex funded account with us – you are part of the Learn 2 Trade team. We consider you a business associate, so we’re going to share all gains with you on a 50/50 basis. That’s right, 50%, straight down the middle.

It’s only fair that we stick to our end of the deal in providing you with the trading capital needed to trade. In return, you’ve used your trading skills to make metaphorical lemons into lemonade. It’s all about teamwork.

Capital Growth System

Here at Learn 2 Trade, we evaluate our forex funded accounts by testing trading abilities and skill set, in environments mirroring real-life forex market conditions.

Our practical evaluation process works well with both manual trading strategies and automated trading strategies alike. Our aim is to use the evaluation in order to sustain and elevate trading capital.

Provided you are in the green (making a profit), Learn 2 Trade will pay you on a monthly basis. This payment every calendar month is there to support you, enabling you to earn a living and grow your trading portfolio – at a much faster rate than you would otherwise.

Profit Payment Procedure

When it comes to profit payment – we believe in compounded profits. This means that any gains you make will be given to you in a way which doesn’t affect the growth of your funded account.

Furthermore, when you reach the end of your initial evaluation phase – as long as you finish with a positive balance – we will ensure that all due profits are paid to you.

Evaluation Time Frame

If you have ever looked into opening a forex funded account before, then you will know that some platforms enforce strict time limits – some as little as a month!

Here at Learn 2 Trade, we believe in flexibility. In other words, when opening a forex funded account with us you will have an entire year to pass your evaluation.

Good things come to those who wait. However, if you want to steamroll your way through the evaluation process and pass within a few months – that is entirely your call. Either way, as soon as you pass the evaluation, our team will upgrade your forex funded account in an instant.

In terms of targets, the timeframe of 1 year only applies to the initial phase of the process, i.e. – your evaluation phase. When you graduate to the portfolio manager level, you will be able to complete any targets set for you in whatever time frame you wish.

Minimum Trading Days: 30

Whilst we enforce no post-evaluation time restrictions – during your evaluation you must proactively trade for a minimum of 30 days. To clarify, if you open a trade position on a Wednesday, and close it on a Thursday – this will be counted as 1 singular trading day.

Once you’ve surpassed your evaluation stage – you don’t need to worry about the minimum number of trading days rule.

Minimum Trades: 45

As well as your 30-day minimum active trading requirement, you also need to display your trading skills to us. In order for us to thoroughly assess your trading capabilities, you will need to fulfil our requirement of 45 trades minimum.

Let us be super clear about what constitutes 1 trade when it comes to your evaluation requirements.

  • Let’s say you decide to open more than one position on GBP/USD
  • Until both positions have been closed – this still counts as 1 trade

In terms of the portfolio manager phase, following your evaluation phase graduation – you only have to actively trade four different positions in a calendar month.

Maximum Relative Drawdown

A drawdown in forex trading is the percentage of losses taken on a trading position – before recuperation of your last highest profit.

Any losses incurred by you cannot go above the max relative drawdown specified by us. Your own max relative drawdown will be displayed to you at the beginning of every evaluation/portfolio management stage.

To give you an example:

  • Your account balance sits at $6,500 on May 8th
  • By June 17th your account balance is $6,250
  • The relative drawdown here is $250

This particular rule will apply to each and every stage of your forex funded account.

Max Risk for Each Trade

As a funded trader, you will only be permitted to risk up to 1.5% for each trade – this includes stop-orders, market orders and pending orders. 

If like in our earlier example, you decide to open more than one position on pair GBP/USD – the combined risk on these trades must not go above 1.5% of your Learn 2 Trade forex funded account balance.

Let’s say you’ve decided to utilise a hedging strategy,. Once again, the risk covering all trades must not go beyond 1.5%.

If, on the other hand, you decide to open a position on EUR/USD and also GBP/USD – this counts as 2 separate trades. Therefore, you can risk as much as 1.5% on each trade.

The aforementioned rule applies to all phases of your forex funded trading account.

Max Risk Exposure: Lot Size

Different stages come with different maximum lot sizes. What we mean by maximum exposure is that you will only be permitted to open lot sizes of a certain amount.

To give you a clearer idea, let’s say you have 4 open positions of 1 lot. You then break even by shifting your stop loss (of 1 lot). This gives you room for a further 1.5lot worth of risk on future trading endeavours.

You must follow this rule in all of your evaluation and forex funded trader stages.

Tradable Currency Pairs

When it comes to forex trading, there are heaps of tradable currency pairs available when joining the Learn 2 Trade program. We give our traders exposure to major pairs and major pairs – and even exotic forex pairs for you to combine.

To give you an example, please see below:

  • Minor FX Pairs: EUR/GBP, GBP/JPY, EUR/NZD, GBP/JPY, EUR/CHF
  • Major FX Pairs: GBP/USD, USD/CHF, EUR/USD, NZD/USD, USD/JPY
  • Cross FX Pairs: EUR/AUD, EUR/JPY, EUR/GBP, GBP/CAD, GBP/CAD, GBP/AUD

Holding Trades, Hedging and EAs

If you want to hold positions overnight, or over the weekend – then you may do so. If you want to trade in a passive manner, you can also use an automated trading robot – otherwise called forex robots or EAs.

This applies to all stages of your forex funded account.

Post Evaluation

Let’s assume that you pass the initial evaluation phase with flying colours. Once you are at the ‘portfolio management’ stage – provided you are in the green – all due profits will be paid to you at the end of each month.

Each month we will give you a multiple of 4 times the amount of your initial stake. For instance, let’s say you want to aim for the $70,000 forex funded account. You would be required to work your way up from $17,500 in increments of 4 until all of your evaluation tasks have been undertaken.

Once you reach the level of $70,000, every time you hit your 10% target we are going to double your trading account funds.

Learn 2 Trade Funded Account Rules and Regs

We at Learn 2 Trade are 100% transparent when it comes to account rules and regulations. As such, below wenoutline some of the key metrics that you need to be made aware of before getting started.

Profit Goals

As you pass each stage of your forex funded account, you will be given a target. This profit target will be illustrated to you in US dollars rather than a percentage.

When your profit targets are being calculated, you will notice that we automatically deduct overnight financing fees, spreads and commissions from your target amount.

It’s important to take note of the aforementioned risk allowance, any gains made from failing to follow this rule will be taken away from your overall profit.

When you hit your profit target you will need to close your positions. Learn 2 Trade will not pay anything over the max profit target which has been specified to you.

Hard Stop Loss Value

As a forex funded trader, you are obligated to order a stop-loss for every single pending market order, stop order and limit order. The same goes for any kind of open trade.

As we mentioned earlier, you must also keep an eye on your risk percentage, as anything over 1.5% per trade is a violation of the rules.

To give you another example:

  • Your account balance is $6,250
  • You open one trade on GBP/USD, which comes with a risk of 0.5%
  • Next, you open another trade on GBP/USD.
  • The risk ratio on the second position can’t be any higher than 1%.

See further up for a full explanation of maximum risk.

Forex Funded Account Restraints

  • You are forbidden from applying for a Learn 2 Trade forex funded trading account for any purpose other than to trade.
  • Traders must not collaborate with any other people actively trading via Learn 2 Trade
  • It is not permitted to use copy trading accounts and they must not be used to duplicate any positions
  • Should you decide to open more than one forex funded account – you must not hedge between these individual accounts.
  • If you violate any of our rules regarding risk management or lot size we have the right to terminate your forex funded account. In this scenario, you are able to reapply to try again once you understand the rules.

Payouts and Withdrawals

Here’s what you need to know about payouts and withdrawals when singing up to the Learn 2 Trade forex funded account program.

Profit Payment: Evaluation Stage

When you reach the end of your evaluation phase, presuming you have reached the target set out for you, we will pay you 50% of your profit in a lump sum.

Calculation of Profit Share

As noted earlier – we will share profits 50/50. It is important to note that any positions that are still open on the last day of the month will not count towards gains. If you do not make any profit, you will not receive a payment from us.

Processing Payments

On the last day of each calendar month, we will assess your trading activities and account thoroughly. We will send out a detailed report of your personal profit share information – and this will be sent to the email address you provided to us.

You should expect your payment within the first week of the new month. There are various payment methods available, which you can select when setting up your account.

Hard Stop Loss Value

As a forex funded trader, you are obligated to apply a stop-loss for every pending market order, stop order and limit order. The same goes for any kind of open trade.

As we mentioned earlier, you must also keep an eye on your risk percentage, as anything over 1.5% per trade is a violation of the rules.

Forex Funding Program Termination

We at Learn 2 Trade like to be crystal clear about what we expect from our funded traders. As such, please review the following sections on what can lead to termination of your account.

  • Hitting your max relative drawdown amount
  • Abuse of your account
  • Account expiration
  • Using your account for anything other than trading
  • Failure to follow risk management rules

Notice of Termination

In the unfortunate event that your account is terminated, the procedure is as follows:

  • You will receive a termination notice via the email address you provided to us
  • Any trading permissions and platforms access associated with your account will be disabled
  • Your trading account will be frozen
  • Next, you will be sent a full detailed trading report via email
  • If your account happens to be in the green (you made a profit) – you will be paid a calculated lump sum within the same month

Reapplying after Termination

We don’t want to see good traders leave – however rules must be followed. That said, if you have previously had your forex funded account terminated there is nothing to stop you from applying again. 

It is strongly advised that any trader wishing to reapply for an account studies the termination notice and trading report. Not only that, but re-read all rules associated with this type of account.

Who Takes Part in the Forex Funded Agreement?

There are only two participants in our forex funded account agreement – that’s us here at Learn 2 Trade, and you – the trader.

When it comes to your trading account, you will need to go through various stages.

To shed some further light on this, please see the below:

  • Evaluation Trader: This is the first phase of your journey. You will trade within the rules and limits set out for you in order to qualify for a live and fully funded account
  • Portfolio Manager: When you reach portfolio manager status, you have passed your evaluation phase with flying colours. You may now trade using a fully funded forex account.

Forex Funded Trading Capital

As you know, we give traders capital to trade with. If, when you are using a fully funded account, you experience any losses you will not be personally liable for these losses.

That said, you must follow the below principles:

  • You are obligated to utilise all risk management measures
  • You must conduct yourself in a responsible manner to try and bypass major losses
  • Your account must never be used by anyone other than yourself
  • If you think your trading account details have been stolen or misplaced – you must contact our customer support team immediately

Who can Trade Forex Funded Accounts?

We have compiled a list of persons who are eligible for a forex funded trading account below:

  • Traders above the age of 18
  • Persons holding proof of identification
  • Solo traders – no companies or copy traders
  • Traders must exhibit at least basic knowledge of the forex market and trading terms. Common forex trading terms we are referring to include; pips, overnight financing fees, stop orders, spreads, drawdown, etc.
  • Persons need to consistently show satisfactory trading abilities – not only during the evaluation stage but beyond
  • Traders should have a crystal clear comprehension of all of our policies regarding minimum requirements and risk management detailed on our platform

The Evaluation Fee Framework

  • You will be charged a one-off fee for signing up to the evaluation stage of your forex funded trading account
  • We do not charge any monthly fees for using our funded trading account
  • Your entry fee is not to be confused with a deposit
  • From the moment your account has been confirmed – you will not be entitled to a refund
  • You are not permitted to either downgrade or upgrade from whichever stage you are at

The Benefits of Forex Funding Accounts

  • The freedom to trade without risking your own capital
  • Monthly payouts into your preferred bank account
  • We split any profits – 50% for us, 50% for you
  • Super flexible evaluation account time limit
  • Low targets set of under 10%

Author : Samantha Forlow

Samantha Forlow

Samantha is a UK-based researcher and writer that specializes in all-things finance. This covers everything from traditional equity and fund investments, to forex and CFD trading. Samantha has been writing financial-based content for several years and has a variety of publications in the online domain. Crucially, she is able to explain complex financial subjects in a newbie-friendly manner.