Maximum exposure must not exceed 3% at any time - this is calculated from either the initial balance if your balance is above the starting balance OR the current balance if your balance is below the starting balance.
Examples:
Scenario 1 - on your $100,000 account, if your balance is Above the $100,000 starting balance then maximum exposure of 3% is calculated using the starting balance
Scenario 2 - on your $100,000 account, if your balance is Below $100,000 starting balance then maximum exposure is calculated using your current balance e.g. Current balance is $99,000 then this is what the 3% maximum exposure will be based on.
- An "all or nothing" approach is strictly prohibited.
- Violations will result in a hard breach.
Excessive Margin Usage
Excessive margin usage is strictly prohibited on all Evaluation and Simulated Funded Accounts. Traders must apply responsible risk management and must not use too much of their account equity as margin, whether through a single position or multiple open positions. Trading that leaves insufficient free margin or demonstrates reckless overleveraging may be classified as excessive following review by the Risk Team. A confirmed violation will result in a Hard Breach.