← Back to Help Center

Edmond Trader Funding — PRO Account Trading Rules

Edmond Trader Funding keeps PRO Account rules clear and straightforward so you can focus on disciplined growth. Our guidelines are simple, consistent, and built to help you protect your progress and stay in good standing.

1. Contract Scaling Rule

The Contract Scaling Rule ensures traders increase position size responsibly as their PRO Account grows.

  • Initial Contract Limit — All traders begin with 50% of their maximum contract allowance. This limit remains in place until the account reaches the trailing threshold stop.
  • Trailing Threshold Stop — Full contract size becomes available once the End-of-Day (EOD) balance exceeds: Starting Balance + Trailing Drawdown + $100. Full size becomes available the next trading session, even if the balance later falls below the threshold.
  • Example — A $50,000 PRO Account with a 10-contract maximum starts with a 5-contract limit. When the EOD balance reaches $52,600, the trader unlocks the full 10-contract allowance.
  • Single Violation — If a trader exceeds the allowed contract size, excess contracts must be closed immediately. Any profits generated during the violation are removed, and the trader must complete 8 additional compliant trading days before becoming eligible for another payout.
  • Repeated Violations — Ongoing or intentional breaches may result in account closure and forfeiture of all balances.

2. 30% Negative P&L Rule (MAE)

The 30% Negative P&L Rule protects traders from excessive drawdown on open positions and promotes disciplined risk management.

  • MAE Limit — Your unrealized, open negative P&L may not exceed 30% of your Start-of-Day Profit Balance.
  • Real-Time Monitoring — MAE is evaluated continuously. If your open P&L exceeds the limit even momentarily, the rule is violated.
  • Growth Adjustment — When your EOD profit balance doubles the safety-net amount, your MAE limit increases to 50% starting with the next full trading session.
  • Example — If your Start-of-Day profit balance is $4,000, your MAE limit is $1,200.
  • Violation Consequences — Profits generated during an MAE violation may be removed, and the account may be reviewed or closed depending on severity.

3. 5:1 Risk-Reward Ratio Rule

The 5:1 Risk-Reward Ratio Rule ensures every trade is structured with a favorable balance between potential gain and acceptable risk.

  • Minimum Ratio Requirement — Each trade must maintain a reward-to-risk ratio of at least 5:1.
  • Applies to All Trades — This includes single-entry trades, scaled entries, and multi-contract strategies.
  • Example — If a trade risks $100, the profit target must be at least $500.
  • Violation Consequences — Trades that do not meet the ratio may result in profit removal or a rule violation. Repeated violations may lead to account closure.

4. Hedging Rule

The Hedging Rule prevents traders from holding offsetting positions that distort risk and undermine the structure of a PRO Account.

  • No Opposing Positions — Traders may not hold long and short positions simultaneously on the same instrument or on closely correlated instruments.
  • Violation Consequences — Profits generated during a hedged position may be removed, and repeated or intentional violations may result in account closure.

5. One Direction Rule

The One Direction Rule ensures traders maintain a clear directional bias in their trading.

  • Single Direction Requirement — Traders may only hold positions in one direction at a time on any instrument.
  • No Directional Offsetting — Opening orders or positions that counteract your active direction is not permitted.
  • Violation Consequences — Violations may result in profit removal, compliance review, or account closure.

6. News Trading Rule

The News Trading Rule protects traders from high-volatility conditions that can lead to unpredictable fills and excessive risk.

  • Restricted Events — Certain high-impact economic releases may require reduced or restricted trading activity.
  • Order Management — Traders are responsible for managing open orders around restricted news events.
  • Violation Consequences — Profits generated during restricted news periods may be removed, and repeated violations may result in account closure.

7. Payout Eligibility

Payouts are available to traders who maintain consistent performance and follow all PRO Account rules.

  • Minimum Trading Days — Traders must complete the required number of active trading days before requesting a payout.
  • Compliance Requirement — Traders must have no rule violations within the last 8 trading days.
  • Profit Validity — Profits generated during any rule violation may be removed and will not count toward payout eligibility.
  • Ongoing Reviews — All payout requests are subject to compliance review.

Related Articles