- Stellar Trustpilot rating of 4.7/5 and exceptional customer service.
- Free trial, competitive pricing, and infinite free evaluation retries.
- Initial 12-day payout with bi-weekly schedules and 85%-90% profit sharing.
- Flexibility: 1:100 leverage, overnight/weekend holds, and news trading.
- Scalability up to $2,500,000 with relaxed trading regulations.
The Trading Pit
- Scaling up to $5,000,000 with up to 80% profit division.
- Stellar Trustpilot rating of 4.8/5.
- Wide range of trading instruments.
- Minimal trading requirement of 3 days.
- Flexible trading: overnight, weekends, and news events.
Cons ❌
Smart Prop Trader
- Restricted live chat support hours
- 4% Max daily drawdown based on equity
- Elevated commission charges
The Trading Pit
- Low initial profit share of 50% or 60%
- Trailing drawdown post-funding
Rules 📋
Smart Prop Trader
Maximum Daily Loss, Maximum Loss, No Martingale Allowed, Profit Target, Third Party Copy Trading Risk, Third Party EA Risk
The Trading Pit
Maximum Daily Loss, Maximum Loss, Maximum Trading Days, Maximum Trailing Drawdown, Minimum Trading Days, No Copy Trading Allowed, Profit Target
Firm Overview: Smart Prop Trader vs. The Trading Pit
Retail traders looking for a prop firm to expand their trading career have a myriad of options available, and choosing the right one can make all the difference. Today we shall examine two distinguished firms: Smart Prop Trader and The Trading Pit. Both offer unique offerings which could be attractive to different trading strategies and preferences.
Opening Impressions
Getting Started: Trials and Evaluations
Smart Prop Trader offers a free trial and infinite free evaluation retries, lowering the barrier to entry for cautious or budget-conscious traders. This, paired with competitive pricing, sets a nurturing stage for newcomers. The Trading Pit, however, doesn't reference such an offering, which might disadvantage traders who prefer sampling the environment before fully committing.
Profit Sharing & Growth Potential
Retail traders would be wise to consider the upside potential and the alignment of interests with their prop firm. Smart Prop Trader offers an attractive 85%-90% profit sharing, alongside the potential to scale up to $2,500,000. Meanwhile, The Trading Pit enables scaling up to an impressive $5,000,000, although with a lower initial profit share of 50% or 60%. The latter may eventually reward a trader’s success, balancing it with the lower starting percentage.
Flexibility and Rules
Both firms offer substantial flexibility; allowing overnight, weekend holds, and news trading. However, Smart Prop Trader distinguishes itself with 1:100 leverage and payment schedules as early as 12 days post-evaluation with bi-weekly payouts thereafter. Conversely, The Trading Pit's minimal trading requirement of 3 days could appeal to active traders looking to speed up their trading process.
Constraints and Challenges
Operating within the confines set by a prop firm is a reality for traders. Smart Prop Trader imposes a 4% Max daily drawdown based on equity, which some may find strict alongside elevated commission charges. Moreover, restricted live chat support hours could be a limitation for those seeking immediate assistance. The Trading Pit sets a trailing drawdown after funding, which can be beneficial or restrictive, depending on a trader's style.
Accessibility and Account Management
When it comes to money management, deposit methods are quite straightforward for both firms, each accepting credit/debit cards and cryptocurrencies. However, withdrawal methods diverge, with Smart Prop Trader utilizing a modern approach through Deel, whereas The Trading Pit sticks to traditional bank wire transfers.
Trading Instruments and Opportunities
A diverse range of trading instruments is an asset for any firm. Smart Prop Trader offers Commodities, Crypto, Forex, Indices, and Metals which covers a broad spectrum but lacks Stocks and Bonds present in The Trading Pit's arsenal. This inclusion of Bonds and Stocks might allure those traders seeking to dampen volatility through diversification.
Concluding Remarks
Both Smart Prop Trader and The Trading Pit present compelling pitches to the astute retail trader. Deciding between the two is a matter of personal preference, risk tolerance, and trading style. The former's higher profit share, early payouts, and leverage option battles against the latter's larger scaling potential and wider instrument selection.
Retail traders are encouraged to weigh the review's insights alongside their individual goals and strategies. Each trader's journey is unique, and thus a prop firm that aligns with one's personal trading philosophy and growth ambition is most advisable.
