Smart Prop Trader versus True Forex Funds: A Comprehensive Review
When it comes to selecting the right proprietary trading firm, retail traders face a myriad of options. Both Smart Prop Trader and True Forex Funds bring unique offerings to the table, but understanding the nuances of each firm’s benefits and drawbacks is crucial for a potential user.
Customer Experience and Trust
Smart Prop Trader shines with a Trustpilot rating of 4.7 out of 5, reflecting a high level of trust and satisfaction among its users. This is complemented by a standout customer service that has been frequently lauded in reviews. This strong foundation is tempered by their limited live chat support hours, which might be inconvenient for some traders.
True Forex Funds, not far behind, sports a Trustpilot rating of 4.6 out of 5 and also offers a solid customer support experience, though specific praises or critiques of its customer service are less evident.
Financial Terms and Profit Sharing
One of the most appealing aspects of Smart Prop Trader is its generous profit sharing arrangement, offering 85%-90% to the trader, which is on the higher side for the industry. Along with this, they provide an enticing initial 12-day payout followed by bi-weekly schedules, which will likely appeal to traders looking for regular income.
True Forex Funds takes a slightly more modest approach, offering an 80% profit share, which is still a competitive rate. However, its evaluation account prices are notably higher, which might be a barrier for traders with limited capital.
Flexibility and Trading Options
Both firms present a commendable level of flexibility, permitting overnight, weekend, and news trading with a leverage of 1:100. Moreover, Smart Prop Trader’s policy to allow infinite free evaluation retries and its relaxed trading rules establish an environment where traders can operate with less pressure and more confidence in developing their strategies.
True Forex Funds similarly provides unlimited evaluation retries but may not be as expansive in account scalability or relaxed in trading regulations compared to its counterpart.
Trading Conditions and Restrictions
Regarding trading conditions, Smart Prop Trader imposes a 4% maximum daily drawdown based on equity, which is somewhat stringent but aims to enforce disciplined trading. The firm also stipulates no martingale strategies, a condition that traders should be aware of.
Conversely, True Forex Funds sets its maximum daily drawdown at 5%, slightly more lenient, yet it also comes with its own set of rules including the prohibition on third-party copy and expert advisor (EA) trading.
Account Options and Withdrawals
Smart Prop Trader offers a range of account sizes from $10,000 to $200,000, catering to various trader profiles, and payouts are simplified through one withdrawal method. True Forex Funds steps ahead with more currency options for accounts and a broader array of withdrawal methods, which could be a decisive factor for international traders considering ease of funds access.
Trading Instruments and Markets
Both firms equally allow trading across a wide range of instruments like commodities, crypto, forex, indices, and metals. This degree of variety ensures that traders with different market preferences will find opportunities to trade.
Conclusions and Unique Perspectives
While both Smart Prop Trader and True Forex Funds stand as appealing choices for prop trading, the choice between them hinges upon factors like customer service accessibility, profitability terms, initial capital requirements, and flexibility regarding trading strategies and withdrawals. Smart Prop Trader may appeal more to those valuing excellent customer service, higher profit sharing, and more relaxed rules, while True Forex Funds could be the firm of choice for traders seeking more account currency options and withdrawal methods.
Ultimately, retail traders should align their choice with their trading style, capital availability, and desired level of support and flexibility. Both firms, with their strengths and weaknesses laid bare, offer solid platforms for traders seeking to maximize their potential in the forex markets.
