- Impressive Trustpilot rating of 4.3/5.
- Single-step evaluation with 1:10 to 1:100 leverage.
- Profit sharing of 80% to 90%.
- Flexible trading: overnight, weekends, and during news events.
- Unrestricted trading strategy.
TopStepFX stands out as a proprietary trading firm mostly for Forex traders. Operative since February 2012, the firm has been around for a while, offering its Funded Trader Program for commodities trading with account sizes beginning at $10,000 USD. Though the firm accepts deposits via credit/debit cards and pays out through bank wire transfer, it might lag in the diversity of transaction methods. TopStepFX is potentially suitable for traders who are focused on commodities and prefer a well-established prop trading environment.
TradingFunds Summary
TradingFunds, in contrast, appears to be a newcomer, starting its journey in February 2023. Despite its recent inception, it boasts an impressive Trustpilot rating of 4.3/5. It draws attention with a single-step evaluation process and offers leverage up to 1:100, while also presenting a generous profit-sharing scheme ranging from 80% to 90%. The firm offers greater flexibility with the allowance for trading overnight, on weekends, and during news events. Moreover, traders have the liberty to apply any trading strategy without restrictions. TradingFunds supports a variety of deposit and withdrawal methods such as crypto, credit/debit cards, and PayPal, along with a more diverse selection of tradable instruments including commodities, crypto, forex, indices, and metals.
Comparative Advantages
TopStepFX Advantages
The main advantage of TopStepFx is its tenure in the industry, which may instill a level of trust and reliability in the eyes of traders. It adheres to a more traditional set of trading instruments, preferring to focus on the commodities market — a feature that can be appealing to specialist traders. The deposit method, although limited to credit/debit cards, is straightforward for many users.
TradingFunds Advantages
The advantages of TradingFunds are considerable. Its impressive Trustpilot score suggests a positive consensus from users, and the flexibility offered in trading strategies, times, and instrument variety is notable. The profit-sharing ratio is highly competitive, encouraging traders to opt for this firm. Furthermore, the variety in account funding and withdrawal options caters to a broader spectrum of traders globally.
Comparative Disadvantages
TopStepFX Disadvantages
The primary cons for TopStepFX were not provided, but based on what can be inferred, the limited trading instruments (only commodities) and transaction methods could be seen as drawbacks for those seeking broader opportunities in financial markets and more convenience in monetary dealings.
TradingFunds Disadvantages
While TradingFunds has many pros, there are noteworthy cons. The evaluation account fees are on the higher side, which might deter some traders. Additionally, the trailing drawdown rule and the requirement of a strict 2% maximum stop-loss per instrument could be seen as restrictive and might be a hindrance for certain trading styles. The relatively low initial leverage of 1:10 could also be initially limiting for those looking to trade aggressively.
Trading Rules & Requirements
TopStepFX Trading Rules
TopStepFX’s trading rules were not specified but typically, funded trader programs come with specific guidelines including profit targets, maximum drawdown limits, and trading style restrictions which applicants need to abide by.
TradingFunds Trading Rules
TradingFunds has a clear set of rules, including a maximum trailing drawdown, specific profit targets, and stop-loss requirements. They bring in additional oversight with restrictions on third-party copy trading and third-party EA (expert advisor) risk, pointing towards a more conservative trading environment.
Operational Transparency & Reliability
TopStepFX Reliability
With its longer operational history, TopStepFX may be perceived as a more reliable choice. However, a comprehensive analysis of its transparency practices is needed for a definitive assessment.
TradingFunds Transparency
Being a new firm, TradingFunds will have to establish its transparency and reliability over time, although the high Trustpilot rating is a promising start.
This review provides a preliminary comparison between TopStepFX and TradingFunds intended for retail traders and potential users for informative purposes. It's important to conduct further personal research and consider individual trading needs when choosing a proprietary trading firm.
