In the world of forex trading, one of the most critical decisions for aspiring traders is choosing the right funding program. Two of the most popular prop firms in the industry today are My Forex Funds (MFF) and FTMO. Both offer traders the opportunity to trade with substantial capital, but they differ in key areas, such as their trading rules, evaluation processes, fees, and overall support.
This article provides a detailed comparison of MFF vs FTMO, helping traders understand the unique features of each platform to make an informed decision when choosing a forex funding program.
What is My Forex Funds (MFF)?
My Forex Funds (MFF) is a relatively new player in the prop trading space, but it has quickly made a name for itself due to its competitive features and trader-friendly conditions. Founded in 2020, MFF offers funding to traders who meet their performance targets through a comprehensive evaluation process. They provide both standard and rapid account options for traders, each with distinct rules and profit-sharing structures.
MFF Funding Process
The MFF evaluation process is designed to ensure that only skilled traders are granted access to funded accounts. Traders must pass through different phases, which may include:
- The Evaluation Phase: Traders are given a demo account with a specified starting balance. The goal is to meet the profit target without exceeding the maximum drawdown limit.
- The Verification Phase: After completing the evaluation phase, traders must demonstrate consistent profitability in the verification phase.
- The Funded Account: Once traders meet the criteria for both phases, they receive access to a funded account where they can trade with real capital.
MFF Features and Benefits
- Low Fees: MFF offers some of the most affordable fees for traders looking to enter the prop trading world.
- Flexible Trading Rules: MFF is known for its lenient rules compared to other firms, allowing for greater trading flexibility.
- Profit Sharing: MFF offers competitive profit splits, ensuring that successful traders earn a substantial portion of their profits.
What is FTMO?
FTMO is one of the most established and reputable prop trading firms globally, operating since 2015. It is known for its rigorous evaluation process and its commitment to providing traders with substantial capital. FTMO has built a solid reputation among professional forex traders by offering a reliable funding platform and a proven track record of success.
FTMO Evaluation Process
The FTMO evaluation process is more stringent than many competitors, which adds an element of challenge but also provides significant rewards for successful traders. The process consists of:
- The Challenge Phase: Traders must trade in a demo account and achieve a predefined profit target while staying within the maximum drawdown limits. The challenge phase is typically 30 days long.
- The Verification Phase: Once traders successfully complete the challenge, they must verify their skills by continuing to trade in a demo environment, meeting similar profit targets and drawdown limits.
- The Funded Account: After passing both phases, traders are given access to a funded account with real capital to trade.
FTMO Features and Benefits
- Higher Evaluation Costs: FTMO is generally more expensive than MFF due to its rigorous evaluation process, but it offers more significant funding opportunities.
- Profit Sharing: FTMO offers a 70% profit split, with top traders receiving up to 90% profit sharing based on performance.
- Comprehensive Risk Management: FTMO has stricter risk management rules, including daily drawdown limits, which can be an advantage for more disciplined traders.
- Additional Support and Tools: FTMO provides traders with additional resources, such as access to educational content, trading tools, and performance tracking.
MFF vs FTMO: Key Differences
While both firms provide traders with the opportunity to trade with substantial capital, there are several key differences between MFF and FTMO that traders should consider before choosing one:
1. Evaluation Costs and Fees
One of the most significant differences between MFF and FTMO is their pricing structure.
- MFF offers relatively low fees to enter the evaluation process, making it a more affordable choice for traders, particularly those just starting.
- FTMO, on the other hand, requires higher fees for its evaluation process. While these fees may seem steep, traders who pass the evaluation process can gain access to larger amounts of capital and higher profit-sharing opportunities.
2. Profit Sharing and Account Scaling
Another key difference lies in the profit-sharing model and the opportunity for scaling accounts.
- MFF offers traders a 75% profit share on average, with the potential to increase the share as the trader progresses. However, FTMO is known for offering up to 90% profit sharing, which can be a significant draw for professional traders looking for higher rewards.
3. Trading Rules and Flexibility
- MFF tends to be more lenient with its trading rules compared to FTMO, offering greater flexibility for traders in terms of trading strategies and risk management.
- FTMO imposes stricter risk management rules, such as daily loss limits, which ensure that traders maintain discipline and avoid taking excessive risks. These rules can be a double-edged sword: while they promote discipline, they can also be restrictive for traders who prefer more flexibility.
4. Customer Support and Resources
- FTMO stands out for its comprehensive customer support, educational content, and trading tools. Traders on FTMO have access to exclusive resources, which can be extremely beneficial for both beginners and seasoned traders.
- MFF also offers solid customer support but may not have the same level of educational material or tools that FTMO provides. However, MFF’s straightforward approach and lower fees make it an appealing option for many traders.
5. Funded Account Size and Scaling
- MFF provides traders with up to $400,000 in funded capital, which is substantial, but still somewhat limited compared to FTMO.
- FTMO, on the other hand, offers funding up to $200,000 per trader but allows for significant scaling opportunities based on performance. Once traders prove their consistency, they can apply for larger accounts, which makes FTMO an attractive option for traders looking to scale their capital over time.
Which is Better for You: MFF vs FTMO?
Ultimately, the decision between MFF vs FTMO comes down to your personal trading goals and preferences.
- If you’re a trader looking for a lower-cost entry into the prop trading world and prefer more flexible trading rules, MFF may be the better choice for you.
- If you value higher profit sharing and are comfortable with stricter risk management rules, FTMO could be a more suitable option. Additionally, if you are looking for a more structured and supportive environment, FTMO’s educational resources and customer support may prove to be invaluable.
Both firms have their advantages and drawbacks, so carefully considering your trading style, goals, and risk tolerance will help determine which platform aligns best with your needs.
Conclusion
When comparing MFF vs FTMO, both platforms offer distinct features that cater to different types of traders. Whether you prioritize lower fees, flexible rules, or higher profit-sharing potential, understanding the key differences between the two will help you make an informed choice.
For more details, refer to this article: MFF vs FTMO.