Live Funding Account Rules
NexGen Live Funding and Trading Guidelines
Personalized Live Funding Process:
- Our company is built around live funding all traders who pass our challenge and reach the funded account stage.
- We understand that there is no single mold that fits all trading types, which is why we do not have consistency rules.
- Our platform is built to accommodate how you trade and demonstrate your abilities throughout the process.
- This approach allows us to offer a personalized live funding process tailored to your trading habits.
- The goal is to encourage traders to develop discipline and build sustainable habits for the long-term success of their trading careers and our company’s support. This is not a lottery ticket, this is real capital.
- These rules are not in place to deny payouts, close accounts, or any other hidden actions.
Trading Expectations:
- Traders are expected to show skill in risk management. This is demonstrated through effective trade management of profit versus risk.
- While not every trade will be a winner, success hinges on sticking to a solid trading plan and ensuring that the risk does not outweigh the reward.
- Traders who consistently demonstrate trading habits that result in more profit than loss each day will be given more flexibility compared to those who lack risk management and rely on our Daily Soft Stop (DSS).
- Example: Traders hitting DSS will be closely managed to prevent this from happening in a live account with real money at stake. The more often a trader hits DSS, the tighter we will manage our money being traded by them.
- When a trader qualifies with a large win that is out of proportion to their average trading wins, we will adjust our trading limits for the trader in line with their average trading winning day. This means that while we accept that a large winning day was enough to qualify for live funding, we will not include that large single day in the computation for daily trading limits.
- Where traders are trading with the sole aim of qualifying with no stops, our live funded stage will have stop-losses built in. If you find this hard to accept, understand it is our money that you are using, not yours, where you cannot indulge in these practices.
Support and Guidance:
- Our trading team will support you during both good and bad times to help keep you on the right track. Nexgen will be in regular communication with you in good and bad trading days. This will be in the form of email, text, or calls. All meant to help keep you and your account on the correct path to winning.
- Your actions in the steps leading to your live account are up to you. Make your own decisions, risks, and goals to earn live funding reflective of your business model.
- Our goal is to support you no matter what. These guidelines are not a means for us to take away your live funding or reject payments.
Withdrawal and Account Closure:
- Update as of 8/10/2024: The live account buffer (the amount from your starting balance to the minimum account balance) is no longer available for withdrawal.
- If a trader chooses to leave at any time, only profits above the starting balance are guaranteed to the trader.
- For stagnant accounts (live accounts that have not traded and made a withdrawal in 45 days), the buffer amount is not owed at the time of closure.
Summary of a Funded Show Account
- Progression to Funded Show Account:
- Once you reach the profit target in a Show account, your profit balance will be transfered to a Live account to trade. Each plan has a specific minimum balance requirement to keep the account active.
- One Funded Account Allowed:
- You are limited to one funded account, regardless of the number of Show Accounts passed. Up to 10 Show accounts can be funded to increase your funded balance.
- Profit Sharing Scheme:
- All profit sharing is 90/10 from day 1. Over $30,000 we can negotiate this profit share even further in your favor.
- Minimum Balance Threshold:
- The minimum balance, crucial for account activity, is based on the account type passed. Dropping below this minimum account balance will result in account closure. However, funded accounts have Daily Soft Stops in place to help prevent account closures. Daily Soft Stops are put in place during the on boarding process and are discussed between Nexgen and the trader. DSS will be based off traders habits and risk profile.
- Withdrawal Impact:
- Withdrawals impact your balance. It’s vital to keep the balance above the minimum after withdrawals to continue trading. Only profits above the starting balance can be withdrawn. Buffer zone (below starting balance) cannot be taken at this time.
- Example of Account Balance/Payouts:
| Day/Action | Description | New Balance | Notes |
| Starting Account | $3,000 with a minimum required balance to be maintained of $1,000. | $3,000 | |
| Day 1 | Earn $400 | $3,400 | |
| Withdrawal Day 2 | Max Withdraw $400 | $3,000 | You receive 90% = $360 |
| Day 2 | Earn $200 | $3,100 | |
| Day 3 | Lose $300 | $2,800 | |
| Withdrawal Day 3 | Earn $3,800, Withdraw $2,000 | $4,600 | You get 90% = $1,800 |
| Day 4 | Earn $500 | $5,100 | |
| Summary | Total Profits Earned: $4,500 Total Withdrawals Gross: $2,400 Net paid to you: $2,160 Profits left: $2,100 | $5,100 | You were paid $2,160 in 4 days |
7. Key Aspects of Funded Account Management:
- It’s crucial to balance gains, losses, and withdrawals to maintain the minimum required balance and ensure the viability of your trading activities.
- Minimum Balance Maintenance: It is essential to keep the balance above the minimum to avoid account closure.
- Risk of Account Closure: If the balance falls below the minimum, the account will be closed.
- Withdrawal Guidelines: Withdrawals are allowed at any time but should not reduce the balance below the required level. Please be aware of the amount you request to withdraw and continuing to trade. You will not be entitled to the requested pay if your account balance decreases to a level lower than amount requested.
- Intervention for Significant Losses: If the balance falls significantly, trading may be paused for strategy review depending on the funded accounts Daily Soft Stop. One of our account managers will reach out in this situation to discuss and help get you back on track.
- Changes to Margin Events: Your broker may increase margin requirements before known market moving events. This is enforced by the broker/exchange, not by Nexgen. During this time you may be unable to trade your normal size or contracts based upon your account balance vs margin requirements.
8. Simple Guide to the Funded Trading Initial Margin Rule
This Guide is designed to help traders manage their investments more effectively in their funded Show Account.
- Adjusting Trading Capacity Based on Performance:
- Your ability to trade (buying power) changes with your Trading Profits balance, which goes up or down depending on your daily profits or losses.
- Daily Account Review Using the Daily Trade Report:
- Every day, your account should be reviewed using the brokers dashboard, to help you stay informed about your current Profit or Loss situation.
- Starting Small and Growing (Initial Trading Plan Scaling):
- As you are new to us, we’ll start with smaller trades and increase them as you gain more experience, helping you manage early losses and improve your chances of long-term success.
- Earning the Right to Take More Risks:
- Once you make a total balance of over $5,000, you can ask to trade with different risk rules, potentially allowing for much bigger trades and strategies.
- Initial Margin Limits:
- Initial Margin limits vary by account size until $5,000 in profit is earned. Overnight positions are not allowed – all positions must be closed by 4:15pm EST. Intraday margin starts at 9:30am EST.
Trading in funded Show Account
- Primary Trading Platform:
- Execute all trades on the broker’s platform, utilizing its advanced charting and analysis tools. Web and mobile is available through our broker. TradingView is also available for those who prefer that interface. Please contact us to have this feature enabled. Overall, please maintain your consistency in trade execution, wheter using the broker’s platform or Tradingview.
Trade your account like it was your own money:
With a funded Show account, you are now trading with live market data and funds that you have earned. There is still a minimum account balance for each account type that needs to be maintained in order to keep your account open. Below are the balances for the plan type that is passed into a funded account.
| Account Size | Starting Balance | Minimum Account Balance |
|---|---|---|
| $25k | $1,500 | $500 |
| $50k | $3,000 | $1,000 |
| $100k | $3,500 | $1,000 |
If you pass more than one SHOW account your starting balance will scale incrementally along with minimum balances. You are allowed to fund up to 10 Show accounts into your master funded account. Example: Passing 10x $50k Accounts would mean your starting balance in live would be $12000 and a minimum balance of $5500. A DSS is required and is variable based upon a traders habits.
| Account Size | Balance Increase/MAB increase |
|---|---|
| $25k | $500/0 |
| $50k | $1,000/500 |
| $100k | $1,500/1000 |
It is possible that traders do not qualify due to the KYC background check, country eligibility, or age restriction. Only one live account per household.
