[Instant Funding] How does trailing drawdown work for Instant Funded?

The Max Trailing Drawdown is fixed at 8% of your starting balance, and it moves (or “trails”) your High Water Mark (‘HWM’) until 8% profit made

• It will continue to trail your High Water Mark until your account reaches 8% profit.
• Once your account achieves 8% profit from your initial balance, the Max Trailing Drawdown locks in at your starting balance and no longer trails the High Water Mark.
• The 8% Max Loss Limit Calculation is always calculated as 8% of the initial account balance and does not change, regardless of profits or losses in the account

Instant Funding Account Examples

• Example 1:
  ​Starting Balance: $2,500

○ Initial Max Trailing Drawdown: $2,500 – (8% of initial balance: 200 FIXED) = $2,300.

Daily Drawdown : $2,500 (Previous days balance) – 8% = $2,300.

○ If your equity drops below $2,300 at any time without any profits (HWM at initial balance), the account breaches.

• Example 2:
  ​High Water Mark: $2,625

○ Max Trailing Drawdown: $2,625 – (8% of initial balance: 200 FIXED) = $2,425.

   Daily Drawdown : $2,625 (Previous days balance) – 8% = $2,415

○ Your account must not go below $2,425 in equity or balance.

• Example 3:
  ​High Water Mark: $2,700

○ Max Trailing Drawdown locks at the starting balance ($2,500).

 Daily Drawdown : $2,700 (Previous days balance) – 8% = $2,484

○ Your account must not go below $2,500.

Examples for $10,000 Account

• Example 1:

​Starting Balance: $10,000

○ Initial Max Trailing Drawdown: $10,000 – (8% of initial balance: $800 FIXED) = $9,200.

Daily Drawdown: $10,000 (Previous day’s balance) – 8% = $9,200.

○ If your equity drops below $9,200 at any time without any profits (HWM at initial balance), the account breaches.

• Example 2:

​High Water Mark: $10,800

○ Max Trailing Drawdown: $10,800 – (8% of initial balance: $800 FIXED) = $10,000.

Daily Drawdown: $10,800 (Previous day’s balance) – 8% = $9,936.

○ Your account must not go below $10,000 in equity or balance.

Examples for $50,000 Account

• Example 1:

​Starting Balance: $50,000

○ Initial Max Trailing Drawdown: $50,000 – (8% of initial balance: $4,000 FIXED) = $46,000.

Daily Drawdown: $50,000 (Previous day’s balance) – 8% = $46,000.

○ If your equity drops below $46,000 at any time without any profits (HWM at initial balance), the account breaches.

• Example 2:

​High Water Mark: $54,000

○ Max Trailing Drawdown: $54,000 – (8% of initial balance achieved $4,000) Locks in at the starting balance $50,000

Daily Drawdown: $54,000 (Previous day’s balance) – 8% = $49,680.

○ Your account must not go below $50,000 in equity or balance.