Rules and Conditions
The structure of the Prop Trader Qualifier is designed to reflect the reality of a trader trainee progressing through various stages of development. The responsibility of the trader grows as he reaches certain milestones both in the qualifier and the live prop trading account. Consequently, your trading success involves many different variables that you need to understand thoroughly.
- Buying power in the trading simulator: $10,000
- Profit target/ROIC: 5% of your buying power or $500 for the rolling evaluation period of 20 trading days
- Daily profit: capped at $300 for calculation purposes to ensure consistency in your trading performance
- Trading day is defined as trading volume greater than 1,000 shares and $10,000 of notional volume
- Daily loss limit: $100
- The only reasons for disqualification from CEED.funding are having an open position at the market’s close (i.e. carry position overnight) or any type of gaming the rules such as an obvious style shift after reaching the target before the end of the 20 day rolling period. Remember that we need to evaluate your overall trading skills which is why you are expected to keep trading the same style for the entire qualification period.
- Commission: $0.0035 per share ($3.50 per 1,000 shares)
- Minimum share size: 100 shares or $1,000 notional value
- Maximum position size: 500 shares in a single stock
- Max single position value: $5,000
- Tradable stocks criteria:
- Listed on NYSE, AMEX and Nasdaq
- Price > $5
- Average trading volume >500,000
- Market capitalization > $2 billion
- Float > 100 million
That’s a universe of 973 stocks as of December 17, 2020 (check FinViz for up-to-date screener results)
Risk-adjusted buying power in live-account based on Sortino ratio. See the following sample for more detail:
Initial buying power tier from the PTQ increases by $20,000 for every $1,000 in retained profits or 500k shares traded
Initial daily loss limit tier increases by $50 for every $1,000 in retained profits
Weekly loss limit: 3x daily loss limit (DLL)
Initial max. drawdown: $500 for regular CEED.funding and $1,000 for CEED.incubator trainees
Initial payout increases by 5% for every $10,000 in cumulative net profits up to 85%
Initial commission tier decreases by $0.00025 for every 500k in trading volume to as low as $0.000175
Live-trading will be suspended…
- for the rest of the week if weekly loss limit is reached.
- for one day if daily loss is reached two days in a row.
- indefinitely if daily loss is reached three days in a row or if you hit the max drawdown.
Upon consultation with the risk manager, the trading suspension may be lifted, your max drawdown may be extended or you need to go back to CEED.funding to re-qualify.
Software fees ($75 for Sterling Trader Web/$180 for Sterling Trader Pro) and professional data fees for Nasdaq and AMEX/NYSE market data (passed through from the exchange) in the live prop trading account are paid by the trader.
- Sterling Web software fee waived for trading volume >100k shares/month
- Sterling Pro software fee waived for trading volume >200k shares/month
"You're in the right place for learning how to read algo
order flow and leverage this knowledge with professional buying power."
former FINRA Series 3, 7, 55, 63 -