The numbers of prop firms who appeared in 2022, 2023 and 2024 is impressive. The technology barrier felt, and open a prop firm became (almost) as easy as to create an e-commerce website.
But things changed in the past few months : restrictions in the US, struggle with MetaQuote licensing… and saturation of the market ! Some prop firms are clearly in severe business troubles.
We see 2 categories of prop firms at the moment : those increasing discount frequency (and discount rate), and those slowing or stopping discount whilst they actually had more rules on challenges and funded accounts.
I am not a deep specialist of this business and it’s operating model. However I believe that only few firms can survive in the coming 3 years. this will be those able to shift their revenue from sales to real profit share. Hence truly put money on the market based on their best traders.
I expect firms to increase constraints on trading rules to identify consistent and sustainable traders.
Traders must take their accountability in this business. Trying to earn more money with more risk on the same account is pointless. Rather try to earn a other funded account (with same or other prop firm) to demonstrate again your consistency and ability to play with an other strategy (or that your strategy works on some other assets).
Opinion? Idea ? Other perspectives on the industry futures ?)
Please refrain to indicate prop firm names. The topic is more to discuss between traders about what we have to expect of the ecosystem
At this point, best not to think about which firm will survive. diversify by trading with multiple firms, the big names like FTMO and 5ers. take your payouts and create insurance by investing into your personal account. I think Oanda will make it big in the prop space. but still best not to put your trust in any of them
Future firms will survive at that time bcoz forex firms are not regulated,
As we can see alot of firms just gone and the trades have to face that issue.
I think that predicting which proprietary trading firms (prop firms) will still be operating in 2027 is inherently uncertain due to the dynamic nature of the financial industry. However, several well-established and reputable prop firms are more likely to have longevity due to their solid track records, robust risk management practices, and adaptability to changing market conditions. Here are some prop firms that are likely to still be operational in 2027.
ha ha
I agree. Predictions in this area is similar to gambling on markets. I just wonder what patterns of commercial behaviors will help to identify the ones who will be most sustainable. At the moment, I also rely mostly on the track records, but it’s so few companies with significant history. Diversification is also a MUST at the moment. Better to have 1 account in several companies than trying to reach the max allocation in few just for the pride of an additional certificate.
I trust FTMO, there is no guarantee of course but they where the first prop firm to ban USA traders while other props where not even aware of what was happening…they clearly have good connections and built up a good reserve…and the broker they are working will potentially add to their strength
Indeed, Prop Firm having a solid legal team show here an additionnal sign of maturity.
What I liked also with some firms, is to see that there’s a dedicated risk team processing the performance review with a deep check of the trading activity. Some traders don’t like that and find it annoying (they prefer to talk directly to the CEO in Discord), however it’s also a sign of maturity indicating that the firm really looks for solid and sustanaible trading performance and not only rely on sales of challenges
What I’d really dream to see is prop firm showing in transparency how much they really trade on the market. No one can believe that they copy 100% of the funded traders… They probably copy only a small percentage, or only the best traders where they collected enough trading history and identified the most consistent ones.
Soon or later, I believe the funded traders will be rated according their performance and consistency, and be publicly rewarded for consistency as much as for performance (via account scalability, or regular wages, or other)
It’s a great topic, but I think the 3 year window is to uncertain. Imho, If a prop form can survive and create a good reputation, it will have the abilty to survive and thrive. There is no shortage of traders looking for prop firms.
